First Gen unit bags 20-MW supply deal with Negros co-op

September 18, 2023 12:00:00

A unit of Lopez-led power firm First Gen Corp. will supply an electric cooperative in Negros Island an additional 20 megawatts (MW) of renewable energy capacity.

According to First Gen, it won a competitive bidding for the 20-MW baseload power supply requirement of Central Negros Electric Cooperative (Ceneco) through its renewable energy unit, Energy Development Corp. (EDC).

The 10-year agreement will start late this year as EDC has yet to finalize and secure other requirements.

First Gen began supplying Ceneco with 20 MW of clean energy in 2011. The latest agreement brings the total contracted demand to 40 MW, making First Gen Ceneco's biggest supplier of renewable energy, the company said in a statement.

"Our relationship with Ceneco is one that has been strengthened over time by mutual respect and trust ... and we're still here trying to do something good for our stakeholders," said Carlos Vega, First Gen vice president for power marketing, economics and trading.

First Gen also noted the contract was in compliance with the Department of Energy's Renewable Portfolio Standards policy, which requires suppliers to source a certain percentage of their power requirements from clean energy.

For its part, Ceneco has committed to source 40 percent of supplies from renewable energy, saying it also intended to increase this number "in the future."

"In 2030, we are hopeful that we'll be able to acquire more renewable supply," Ceneco acting general manager Arnel Lapore said.

Ceneco's total capacity currently stands at 230 MW. It provides power to the cities of Bacolod, Bago, Talisay and Silay and the municipalities of Murcia and Salvador Benedicto. —Meg J. Adonis INQ