Hedcor Sibulan hydro plants

Active

In March 2003 Hedcor Sibulan Inc., a wholly-owned unit of Aboitiz Power Corporation, began development of two hydroelectric plants in Santa Cruz, Davao del Sur. The project consisted of a 26 MW run-of-river plant on the Sibulan river and a 16 MW run-of-river plant on the Bororing river. The project was registered with the government in December 2005. In March 2007, Hedcor Sibulan Inc. entered into a 12-year power supply agreement with Davao Light and Power Co., also owned by the Aboitiz Group. The PPA was scheduled to commence in August 2009. Financial closure was attained when HSI signed a US$76 million (PHP3.57 billion) loan facility on May 21, 2008, with Metropolitan Bank, Philippine National Bank and Rizal Commerical Banking Corp. The loan was expected to finance approximately 70% of the estimated US$105 million (PHP5 billion) total project cost. Project management services were provided by Tonkin & Taylor and their local partner EDCOP. Preliminary building works at the site began on July 26, 2007, prior to financial closure. In May 2009, the Board of Investments (BOI) approved Hedcor Sibulan Inc.'s request for the amendment in the capacity of a 16 MW plant, which would jack up the capacity by 0.5MW. Accordingly, the company also infused an additional US$22.89 million to the project cost, increasing the total investment to US$127.89 million. The first plant (A) was commissioned in April 2009. Plant B was commissioned in March 2010. The project applied for UNFCCC CDM financing. According to CDM documentation, the expected tariff was PHP4.0856/kWh, inflatable by 2% annually. The project life was 25 years. The total capital cost was PHP 5.121 billion. In July 2012, Aboitiz was planning the expansion of the Sibulan hydropower plant with 13.6 MW, via the 6.6 MW Tudaya 1 and the 7 MW Tudaya 2 hydropower plants, listed in the database as separate projects (#6885). http://cdm.unfccc.int/filestorage/C/2/9/C29D5CI593GAN0JBV0RTFVQM9UHMET/CDM%20PDD.pdf?t=OW18bWk2b21ifDCA3CegmZMGt1aXo__Doyu3

High