THERMA Visayas Inc. (TVI), a wholly-owned subsidiary of Aboitiz Power Corp., has signed an Engineering Procurement and Construction (EPC) contract with Hyundai Engineering Co., Ltd. and Galing Power Energy Co., Inc. for the construction of a 340-megawatt coal-fired power plant in Barangay Bato, Toledo City, Cebu.

Upon signing the EPC contract, TVI will be issuing a limited Notice to Proceed to perform design engineering and detailed physical data collection in preparation for the construction of the P41-billion, 300-mw net capacity baseload power plant.

The project’s generating equipment will consist of 2 x 170 MW Steam turbines and 2 Circulating Fluidized Bed (CFB) boilers.

“We look forward to working closely on this project with our EPC contractor and the local community to ensure we deliver a quality power plant on time. This project will assure Cebuanos that we will have adequate and competitively priced baseload power supply in the island by 2017. This is a very important project for the Visayas grid,” Erramon I. Aboitiz, AboitizPower Chief Executive Officer, said in a press statement.

The Department of Energy projects 2016 to 2018 to be a critical period for the Visayas grid. The TVI project has been expedited to meet this looming power deficit. AboitizPower is also working toward financial close with local financing institutions.

TVI is targeted to go online by the third quarter of 2017. The project is expected to create over 1,500 new jobs during construction, and about 150 new permanent jobs during operation. (PR)