The Philippines Department of Energy (DOE) has approved a 20MW plant proposed by South Korea-based renewable energy company Mirae Asia.
The DOE approved a certificate of commerciality so Mirae Asia can now process the remaining permits and start construction. The plant is to be built in the northern province of Ilocos Norte, in the region of Ilocos Norte, Luzon.
Mirae Asia expects to begin construction on the US$6 million (PHP2.4 billion) project, covering 60 hectares, by the end of 2013, to be completed in late 2014.
Mirae Energy's vice president Lito A Badua said: “Financing will be obtained in equity and loans from local and foreign lenders.”
“This is in response to the call of government to put up renewable and indigenous sources of energy,” Badua said.
Mirae Asia has an existing but smaller solar project in Korea.
The project can apply for a feed-in tariff (FiT) rate of US$0.22 per kWh (PHP9.68), as approved by the Philippines’ Energy Regulatory Commission.
The project is the third large-scale solar project to be approved with a COE by the government. The other projects are 30 MW in Ormoc, Leyte province, a 30MW project in Rodriquez, Rizal province, and 35MW in Darong, Davao del Sur, on the island of Mindanao.