Hydrotec Power Sale & Off Take Plan
Longitudinal Profile — Cascading the Marikina River by Small Hydro Power Plants.
By cascading the Marikina River small reservoirs will be created, a water storage volume of ca. 800 Million m3 - similar to Angat reservoir - will be reached, which can contribute to a more efficient flood control and much lower sedimental inflow for the areas of Metro Manila, Pasig River, Laguna Lake and Manila Bay.
Furthermore, with the installation of hydraulic cleaning machines and trashracks at each of our small hydro plants, any solid wastes and debris will be removed from the rivers.
Hydrotec Renewables is positioned to sell power production thru several options that address range of power demand including the largest Utility and corporate power buyers.
Hydrotec’s flexibility to manage multiple market channels is designed to optimize pricing controls for special situation spot & long-term power market transactions & yield the highest premium price per Kwh average.
Hydrotec’s power sales are generated the following:
Philippines Feed-In Tariff
5.9 Pesos or 13 cents (US) per kWh with 20 Year Term.
In July 2012, the Philippines Energy Regulatory Commission (ERC) approved the following FIT rates based on the petition of the National Renewable Energy Board: Run-of-River Hydropower - 5.90 Pesos or 13 cents per kWh.
As approved, eligible Renewable Energy plants will be entitled to the above mentioned FIT rates for a period of 20 Years. Inclusive is a 7 year Tax holiday, Tax exemption on Equipment imported and several other incentives.
Corporate Power Purchasers
Within the Hydrotec’s portfolio of project communities large volume corporate power buyers are in negotiations to finalize corporate power off-take agreements otherwise defined as Power Purchase Agreements.
Wholesale Electric Spot Market
The Wholesale Electricity Spot Market (WESM) began commercial operations in Luzon in June 2006 and in the Visayas in December 2010.
It is a centralized venue for buyers and sellers to trade electricity as a commodity where prices are based on actual use (demand) and availability (supply).
Hydrotec has received interest from electrical cooperatives, Philippines utility distributors and corporate power buyers for power purchase agreement as Hydrotec’s project platform in overlaps their existing power distribution footprint and are always seeking reliable renewable power suppliers such as Hydrotec Renewables.