WEDNESDAY, 09 NOVEMBER 2011 19:58 PAUL ANTHONY A. ISLA / REPORTER
THE state-run Philippine National Oil Co. (PNOC) said on Wednesday that
it has tapped the Land Bank of the Philippines as the program and fund
manager of its Decentralized Energy System Project Fund (DESPF).
The PNOC said the DESPF is a financial support mechanism for the
commercialization of renewable and other off-grid energy technologies in
the Philippines.
At present, the PNOC said it is managing the funds that now amounts to
P141 million to promote development and commercialization through
financial assistance, investments and consultancy services to businesses
engaged in the manufacture, marketing, utilization of decentralized
energy system technologies and products.
Antonio Cailao, PNOC president and chief executive, said the company
decided to place the fund in an interest-earning and principal-protected
investment with LandBank because of its existing renewable-energy loan
program that supports the government's call to develop renewable and
alternative energy sources.
Cailao said the fund will prioritize projects that will be referred by
PNOC, and will also form part of LandBank's pool of funds to finance
existing renewable energy and other energy-related projects.
The PNOC said the Decentralized Energy System Project started in 1987,
with a P62-million grant from the European Union, with PNOC's former
subsidiary Energy Development Corp. (EDC) as the project's implementing
agency.
The PNOC said the project financed some 26 loans covering DES
technologies such as photovoltaics, biogas, agri-dryers, coal
briquettes, solar water heaters and energy conservation technologies.
As the project became sustainable, EU's financial support ended in 1995,
with a five-year transition period. In 2001 the government gave its full
commitment and responsibility to sustain the project.
In another development, the PNOC said its renewable energy
arm—PNOC-Renewables Corp. (PNOC-RC) —has signed a memorandum of
understanding with the University of the Philippines (UP) for the
research and development of new and renewable-energy sources within the
various UP campuses.
Under the MOU, PNOC-RC will conduct feasibility studies on utilizing
solar, biomass and other renewable energy in the UP campuses, develop
prototype pilot renewable energy projects in the UP system, and conduct
energy audits of UP buildings, among others.
PNOC-RC will also help UP evaluate the renewable energy potential of the
different campuses and properties to determine if these can be tapped
commercially for resource generation, which includes, but is not limited
to the geothermal energy and biomass potential of the Los Baños campus
in Laguna, and the solar energy potential of the Diliman Campus.
PNOC-RC said UP will provide them access to its scientific and technical
resources, including expertise from its UP faculty and staff.
PNOC-RC was formed in 2008 as a wholly-owned subsidiary of PNOC. It is
tasked to promote and undertake research, development, utilization,
manufacture, sale, and marketing among others, of new and renewable,
non-conventional, and environment-friendly energy sources and systems.
