Press Release: ERC renews COC of SORECO II’S 448 kW  Mini-Hydro Plant

The Energy Regulatory Commission (ERC) renewed on 24 May 2010 the Certificate of Compliance (first issued in 2005) of the Sorsogon II Electric Cooperative, Inc. (SORECO II) for the operation of its 448 kW Cawayan Mini-Hydro Electric Power Plant (CHEPP) located in Guinlajon, Sorsogon City, Sorsogon. The plant’s COC was renewed after a review of its operations and relevant documents indicated that the plant operator (SORECO II) remained compliant to the technical, financial and environmental standards specified in the ERC’s Guidelines for the Issuance of Certificate of Compliance for Generation Companies/Facilities (Guidelines) as well as with the other rules and regulations issued by Department of Environment & Natural Resources (DENR) and government agencies.  SORECO II was also found to have stayed within the market share and cross-ownership limitations prescribed in the EPIRA to prevent market abuse. The renewed COC of SORECO II is valid for another five years.

The CHEPP was originally owned by the National Power Corporation (NPC) and was bought by the distribution utility in July 2005  from the Power Sector Assets and Liabilities Management Corporation (PSALM).   It is a run-of--river plant that relies on the water forces of the Cawayan River.  Its generated electricity goes through the rural electric cooperative’s 13.2 KV distribution system for routing to its customers.

A COC is required before any generation company can commence commercial operations.  The COC ensures that a power plant will not compromise the health and safety of communities through the ECC (Environmental Compliance Certificate) issued by the DENR that proves compliance with the EIA (Environmental Impact Assessment) requirement.  SORECO II owns no other plant than the CHEPP.  This plant has a total installed capacity of 448 kW or 0.004% of the market share of the Luzon Grid, where the limit is set at 30%.  It has 0.003% of the national market share, where the limit is set at 25%.

“The ERC is pleased to know that SORECO II has been able to maintain CHEPP in good running condition. The CHEPP first started commercial operations in 1959 and has been using the renewable and non-polluting forces of the Cawayan River since then. Our countrymen should be pleased to know that this source makes us self-sufficient since it does not rely on imported fossil fuels.  We all should be happy this plant has, for over fifty years now, not been contributing greenhouse gases.  This is a way of showing to the world that we Filipinos have long been respectful to our environment,” ERC Chairperson and CEO Zenaida G. Cruz-Ducut said.

 

June 17, 2010

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