A consortium led by Cebu-based energy company Vivant Corporation has signed a 15-year power supply agreement with the Bantayan Electric Cooperative, Inc. (BANELCO) for the supply of 23.32 megawatts to the island.
Vivant Corporation, in a regulatory filing at the Philippine Stock Exchange on February 11, 2020, said the agreement was signed by Isla Norte Energy Corporation (INEC), a consortium that is 65% owned by Vivant.
“INEC will install a total of 23.31 MW in Bantayan Island, which will enable the customers of BANELCO to benefit from stable and reliable power,” the company said.
The consortium is constructing a diesel-fired power plant on the island. It is composed of Vivant’s wholly-owned subsidiary Vivant Energy Corporation, its wholly-owned subsidiary Vivant Integrated Diesel Corporation (VIDC), and Gigawatt Power, Incorporated.
VIDC won the BANELCO supply contract in October 2019 via a competitive selection process (CSP).
BANELCO is an electric cooperative that distributes electricity to the entire Bantayan Island as well as smaller islands nearby. Bantayan Island is a popular tourist destination with an increasing energy demand.
It is currently being served by the Bantayan Island Power Corporation (BIPCO), a private power producer whose 15-year power supply agreement is set to expire in 2021.
BIPCO took over from the National Power Corp. Small Power Utilities Group in 2006 and has generating units with a rated capacity of 8.838 MW, of which 4.892 MW has been contracted.
Vivant is an energy company majority owned by the Garcia-Escaño family of Cebu.
It holds equity in the Visayan Electric Company, Inc. (VECO) as well as in Cebu Private Power Corporation, Delta P, Inc. in Palawan, and Cebu Energy Development Corporation. (Ventures Cebu)