PNOC to expand off-grid solar power services

IN line with its assumed role of spearheading the development of the country’s renewable energy sources, state-owned Philippine National Oil Co. (PNOC) has kicked off preparations to expand its solar power services.

PNOC recently bid out the installation and equipment of solar equipment worth a total of P35.79 million in Sulu under its Solar Home Systems Distribution (SHS) Project. The company set the bid submission deadline on August 20.

PNOC used to control the largest local refiner Petron Corp. and the world’s second largest geothermal company Energy Development Corp. until the government sold these. Its petroleum exploration and development arm, PNOC-Exploration Corp., is also scheduled for privatization within the year.

PNOC earlier committed to focus on renewable energy, which was given a shot in the arm at the start of the year with a new law granting incentives to project proponents.

Its solar project began in 2002, with a 5.59 million Euro grant from The Netherlands.

The SHS project involved the installation of 15,100 solar units in seven regions, namely Regions I, II, III, IV, V, VI, VII and the Cordillera region by 2007.

The second phase of the project, in which PNOC committed to install around 40,000 SHS units in the next five years, commenced last year when it purchased the photovoltaic inventory of Shell Solar, a unit of Pilipinas Shell Petroleum Corp., for P25 million.

Prior to the purchase, PNOC acquired P17.5-million worth of solar installations from Shell to light up 15,000 households in areas excluded from the country’s power grid.

Antonio Cailao, PNOC president, said the company is “targeting at least 5 percent of the 1.68 million households which is currently the potential market for solar [photovoltaics].”

To promote the use of solar power, the company also plans to expand its distribution of solar power products to the industrial, institutional and urban residential sectors.

This includes the distribution of lanterns, streetlights, accessories, water pumping systems, telecommunications system packages, computer system packages, multimedia packages and special applications based on client requirements. –Euan Paulo C. Añonuevo, Reporter, Manila Times