SMC Mariveles power station

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SMC Mariveles power station is a power station in Freeport, Mariveles, Bataan, Central Luzon, Philippines with multiple units of varying statuses none of which are currently operating. It is also known as Freeport power station Phase I.

Location

Table 1: Project-level location details

Plant name Location Coordinates (WGS 84)
SMC Mariveles power station Freeport, Mariveles, Bataan, Central Luzon, Philippines 14.449354, 120.432283 (exact)

The map below shows the exact location of the power station.

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Unit-level coordinates (WGS 84):

  • Phase I Unit 1, Phase I Unit 2, Phase I Unit 3, Phase I Unit 4, Phase II Unit 5, Phase II Unit 6, Phase II Unit 7, Phase II Unit 8: 14.449354, 120.432283

Project Details

Table 2: Unit-level details

Unit name Status Fuel(s) Capacity (MW) Technology Start year Retired year
Phase I Unit 1 construction coal - unknown 150 unknown 2023
Phase I Unit 2 construction coal - unknown 150 unknown 2024[1]
Phase I Unit 3 construction coal - unknown 150 unknown 2024[1]
Phase I Unit 4 construction coal - unknown 150 unknown 2024[1]
Phase II Unit 5 pre-permit coal - unknown 350 unknown 2028
Phase II Unit 6 pre-permit coal - unknown 350 unknown 2028

Table 3: Unit-level ownership and operator details

Unit name Owner
Phase I Unit 1 Mariveles Power Generation Corp [100.0%]
Phase I Unit 2 Mariveles Power Generation Corp [100.0%]
Phase I Unit 3 Mariveles Power Generation Corp [100.0%]
Phase I Unit 4 Mariveles Power Generation Corp [100.0%]
Phase II Unit 5 Mariveles Power Generation Corp [100.0%]
Phase II Unit 6 Mariveles Power Generation Corp [100.0%]
Phase II Unit 7 Mariveles Power Generation Corp [100.0%]
Phase II Unit 8 Mariveles Power Generation Corp [100.0%]

Project-level coal details

  • Coal source(s): Indonesia; Philippines

Background

The Philippine Department of Energy (DOE) approved the proposed plant for a grid impact study (GIS) in January 2015.[2]

In October 2018, the project's Environmental Impact Study (EIS) stated that it would consist of 8 x 150 MW units.[3]

In January 2019, SMC Global Power and Meralco announced that the plant would be built and operated by a joint venture firm, Mariveles Power Generation Corp.[4] The project would be built on a 150-hectare property within the Mariveles Economic Zone of the Authority of the Freeport Area of Bataan in Barangay Biaan, Mariveles.[4]

Phase I

In August 2020, the DOE's list of initiated power projects in Luzon stated that construction of the project had begun and was 6% complete.[5] This August 2020 report listed the project as 4 x 300 MW with a commissioning date of March 2022 for Unit 1, June 2022 for Unit 2, December 2022 for Unit 3, and March 2023 for Unit 4.[5] However, the December 2020 update to the DOE's list of initiated power projects replaced the target commissioning dates for all four units to "TBD". This report also reported no progress on construction since July 2020.[6]

An August 2020 report from SMC Global Power named Formosa Heavy Industries, Inc., as the EPC contractor for the SMC Mariveles power station.[7]

The March 2021 DOE report listed each of the four SMC Mariveles units as 150 MW for a total capacity of 600 MW. The report also provided target completion dates of 2022 for Units 1-3 and 2023 for Unit 4.[8]

In its December 2021 listings of initiated power projects in Luzon, the DOE re-listed four additional units to be built, Units 5-8, each with 150 MW capacity.[9]

In March 2022, the Energy Regulatory Commission (ERC) appeared to issue a Certificate of Compliance for 600 MW of capacity at the site. It was unclear if this was for the first four units or four additional units.[10]

In its June 2022 listings of "Committed" power projects in Luzon, the DOE summarized the following:[11]

"Target completion of coal conveyor (jetty to coal yard) has been moved from October 2022 to Dec 2022 due to COVID-19 pandemic lockdown in Shanghai, China affecting fabrication and delivery of Formosa Heavy Industries, Inc. Sub-contractor. This moved the target synchronization date from end of December 2022 and to March 2023. Shortage of local manpower is also experienced by True North due to resignation of workers and/or not yet returned workers after the 2022 National and Local Elections in May 2022. Delayed in construction of 11km 500kV Transmission Line due to Right of Way (ROW) issues and transmission tower sites with 2 claimants."

As of July 2022, three unit structures were clearly visible in Planet satellite imagery (linked above), with a fourth unit structure also underway. As of August 2022, commissioning of Unit 4 was pushed from 2023 to March 2024.[12]

As of February 2023, the commissioning of Unit 4 was pushed forward to December 2023.[13] The February 2023 DOE report predicted delays on the plant's target commercial operation date due to the "required completion of the Balsik-San Jose 500kV Transmission Line Project of the National Grid Corporation of the Philippines", pushing the target commercial operating date of Unit 3 to January 2024. [13]

In May 2023, the DOE's most recent list of committed power projects still listed the first four units as targeted for commission in 2023, with expected delays due to the required completion of the transmission line project.[14] The DOE's August 2023 update noted that Unit 1 was expected to begin commercial operation by October, but by November 2023 there had been no news of its operation beginning.[15] The document also listed Units 2-4 as targeted for commercial operation in 2024.[15] In November 2023, the DOE posted an update of power projects "as on September 30, 2023" which maintained that Unit 1 would begin operation in October 2023, but as of December 2023, no further news or indication could be found of Unit 1 having begun operation.[16]

Phase II

As of February 2023, the target commercial operation date of Unit 6 was pushed to March 2026. [13]

A 2022 report of SMC's principal properties listed the four units of Phase II (Units 5-8) as under "ongoing construction," though the most recent DOE list of power projects in June 2023 did not confirm that construction had begun.[17]

A September 2023 update from the Philippine DOE noted that Unit 5 was still expected to be commissioned in 2025, and Units 6-8 were expected to be commissioned in 2026.[18]

In December 2023, the most recent DOE list of committed power projects included the following note regarding the progress of Units 5-8:

"On-going approval of revision of the MW capacity from 4x150.000MW to 2x350.000MW due to change in sub-technology of power plant."[16] 

By March 2024, the DOE list of committed power projects showed that the former plans for four 150 MW-each units had been replaced by plans for two 350 MW-each units.[19] According to the document, the units would still need "DOE endorsement for the clearance to undertake SIS [system impact studies] and FS [feasibility studies]" for the revised capacity of the units (now with a total of 700 MW rather than 600 MW).[19] The document also noted the updated target commercial operation dates of Units 5 and 6 in March and September 2028, respectively.

2020 moratorium on greenfield coal plants

On October 27, 2020, the Philippine Department of Energy imposed a moratorium on the construction of new or "greenfield" power plants, meaning those which had yet to begin construction.[20] SMC Global Power and Meralco subsequently confirmed that their planned greenfield coal plants were cancelled.[21]

Given that the project was reportedly 6% complete in August 2020, it seemed unlikely that the moratorium alone would cancel the plant.

Opposition

A June 2023 report from the Center for Energy, Ecology, and Development asserted that SMC Power must cancel all of its pipeline and under-construction coal-fired power plants in order to align with the 1.5°C pathway, including all 1,200 MW of planned capacity at the Mariveles power station.[22]

Financing

Phase 1: San Miguel Corporation Global Power (SMCGP) made a bond offering consisting of Series K Bonds due 2025, Series L Bonds due 2028, and Series M Bonds due 2032 with a principal amount of PHP 30,000,000,000 in July 2022. Part of the proceeds of these bonds were allocated Mariveles Power Generation Corporation’s 4 x 150 MW circulating fluidized bed coal-fired power plant in Mariveles, Bataan.[23] Phillippines bank BDO Unionbank put in US$143 million, which included the funding of three bonds of SMCGP, partly allocated for its Mariveles coal plant.[24]


Articles and Resources

References

  1. 1.0 1.1 1.2 (PDF) https://web.archive.org/web/20240125142325/https://www.doe.gov.ph/sites/default/files/pdf/electric_power/01_Luzon%20Committed_0.pdf. Archived from the original (PDF) on 25 January 2024. {{cite web}}: Missing or empty |title= (help)
  2. PRIVATE SECTOR INITIATED POWER PROJECTS (LUZON) COMMITTED, Philippine Department of Energy, August 31, 2019
  3. Environmental Impact Statement (EIS) Summary for the Public for the Proposed Mariveles Coal Power Plant Project, Mariveles Power Generation Corporation, October 2018
  4. 4.0 4.1 SMC-Meralco consortium investing P99b in coal plant, Manila Standard, January 2, 2019
  5. 5.0 5.1 PRIVATE SECTOR INITIATED POWER PROJECTS (LUZON) COMMITTED, Philippine Department of Energy, August 31, 2020
  6. PRIVATE SECTOR INITIATED POWER PROJECTS (LUZON) COMMITTED, Philippine Department of Energy, 31 Dec., 2020
  7. Roadshow Presentation, SMC Global Power Holdings Corp., Aug. 2020
  8. LUZON INDICATIVE POWER PROJECTS, Philippines Department of Energy, Mar. 31, 2021
  9. Luzon Indicative Power Projects, Philippines Department of Energy, Dec. 31, 2021
  10. "Diesel power plants dominate DoE’s endorsements to ERC," Business World, March 13, 2022
  11. Luzon Committed Power Projects, Philippines Department of Energy, June 30, 2022
  12. Luzon Committed Power Projects, Philippines Department of Energy, August 31, 2022
  13. 13.0 13.1 13.2 Luzon Committed Power Projects, Philippines Department of Energy, April 17, 2023
  14. Luzon Committed Power Projects, Philippine Department of Energy, May 5, 2023
  15. 15.0 15.1 Luzon Committed Power Projects, Philippine DOE, August 31, 2023
  16. 16.0 16.1 Luzon Committed Power Projects, Philippine Department of Energy, Posted: November 20, 2023
  17. San Miguel Corporation 2022 Principal Properties, San Miguel Corporation, April 14, 2023
  18. Luzon Committed Power Projects Philippine Department of Energy, Posted: Sept. 21, 2023
  19. 19.0 19.1 Luzon Committed Power Projects, Philippine Department of Energy, Posted: February 22, 2024
  20. Jordeene B. Lagare, DoE issues ban on new coal plants, Manila Times, Oct. 28, 2020
  21. Lenie Lectura, Major coal players to abide by D.O.E. ban on ‘new’ projects, Business Mirror, Oct. 29, 2020
  22. Will San Miguel Corporation Power a World Made Better?, Center for Energy, Ecology, and Development, June 2023
  23. "2023 Fossil Fuel Divestment Scorecard" (PDF). https://www.withdrawfromcoal.org/. April 2023. Retrieved March 2024. {{cite web}}: Check date values in: |access-date= (help); External link in |website= (help)CS1 maint: url-status (link)
  24. "Philippine banks' investments in coal reach almost US$900 million despite moratorium". www.eco-business.com. April 2023.{{cite web}}: CS1 maint: url-status (link)

Additional data

To access additional data, including an interactive map of coal-fired power stations, a downloadable dataset, and summary data, please visit the Global Coal Plant Tracker on the Global Energy Monitor website.