1 week Ago By [email protected] (Gabriell Christel Galang)
Manila Electric Co.’s (Meralco) power generation arm, Meralco PowerGen Corp. (MGen), is targeting to commence electricity supply from its 1,200-megawatt Atimonan coal plant by 2029 or 2030, subject to government approval.
Speaking to reporters on the sidelines of the Meralco Giga Summit 2025, MGen President and CEO Emmanuel Rubio stated that they are seeking the Department of Energy’s (DOE) reapproval for the coal plant’s exemption from the 2020 coal moratorium. “It was recalled for review. I spoke with the DOE Assistant Secretary Mario Marasigan, and I’m trying to clarify what aspect of the project will be reviewed and what they [will communicate] in due time,” Rubio said Earlier in the week, MGen announced that the DOE’s “Acknowledgement of Non-Coverage” for Atimonan One Energy Inc.
’s 1,200 MW coal plant had been recalled for review. Reinstatement of the approval would allow the company to proceed with the project despite the government’s efforts to reduce coal’s share in the country’s power mix. The DOE had previously clarified that the 2020 coal moratorium does not equate to a complete ban on coal-fired power plants.
Operational plants or those committed for expansion are exempt but require proper certification. “I’m hoping that we can still get this review done sooner rather than later..
. When they issued a letter, I’m planning to bring this to our board for approval around June,” Rubio said. “The effective capacity is needed, [and] we were aiming to deliver [power from the coal plant] this late 2029 or early 2030, in time also for us to participate in the baseload capacity auction that the DOE is planning for December,” he added.
The MGen chief also noted that the plant’s levelized cost of electricity (LCOE), the average cost per unit of power generated, is projected to be more competitive than its rivals. “Our commitment [is] that the LCOE of this is going to be probably one of the most competitive, so [the reapproaval] is needed, the capacity is needed. I’m hoping that this review will be done,” he said.
Furthermore, MGen has agreed to discontinue coal operations by 2050 and explore alternative fuel sources in the future. “We will have to repurpose the plant by 2050 to burn another fuel or if not, we cannot operate [on coal]..
. We’re looking at technologies like ammonia co-firing as long as it’s viable, then we will consider.” Rubio also disclosed ongoing discussions with their engineering, procurement, and construction (EPC) contractors regarding this, adding, “we already asked them to make sure that the boiler can co-fire ammonia.
” According to Rubio, they are considering two EPCs for the project, as well as two Original Equipment Manufacturers (OEMs) for the steam turbine and generator. Meanwhile, its 73 MW Toledo power plant, also supposedly exempt from the coal ban, was initially planned to source supply from Formosa Heavy Industries (FHI). However, MGen is now exploring other options due to FHI’s high pricing.
“We were surprised with the cost of the project that we got from FHI. But there are alternatives. The concern is we need to keep it to the specifications that we got the Environmental Compliance Certificate (ECCs) for,” Rubio stated.
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