The Development Bank of the Philippines (DBP) marks another landmark in its involvement in the energy sector with an award for Outstanding Development Project from the Association of Development Finance Institutions in Asia and the Pacific (ADFIAP) for local economic development category for the bank’s funding of energy generation projects in the province of Oriental Mindoro.
Oriental Mindoro province needed at least 44-MW by 2016 to address its peak load demand. To help meet this requirement, DBP extended an aggregate loan amount of P2.4-billion (US$50-million), equivalent to 80% of total project cost, for the development of two hydro-electric projects with a combined 15.1-MW power output, and a 9.83-MW bunker fuel packaged power station.
On an annual basis, these renewable energy projects and a more efficient diesel power plant are expected to yield positive economic and environmental impacts such as reduction of greenhouse gas emission by 51,236.36 tons of CO2; reduction in fossil fuel oil equivalent to 195,451.97 barrels; and reduction in government subsidy by as much as P341.61-million (US$7.12-million). In terms of rate impact to member-consumers, the power projects will result to P0.5066/KWh (US$0.01/KWh) savings for the 10-MW hydro power plant alone, which will benefit a population of 785,602.
DBP is truly proud and honoured by the recognition and tribute for these projects that fulfil one of the core mandates of the bank’s charter — the development of energy sources that are environment-friendly, secure energy security, and enable the country to power its economic development, thereby improving the quality of lives of the Filipino people.
As the largest development partner in the energy sector, DBP has long been supporting government and the private sector. DBP has been involved in hydro-electric, wind, geothermal, and solar power projects and established the Countryside Electrification Financing Program in July 2012 with the aim of providing adequate, affordable, and reliable energy supply through power generation and distribution projects.