June 03, 2013

Lopez Group’s P12-B RE projects get BOI tax incentives

The BOI (Board of Investments) approved this month First Gen Mindanao Hydro Power Corp. (FGMHPC) as RE developer of hydropower energy resources for its three projects in Mindanao worth P11.96 B with a total energy capacity 62.75 megawatts.

With the approval of the registration of the three projects, FGMHPC can enjoy incentives such as income tax holidays and duty-free importation of equipment for seven years as provided by the Renewable Energy Act of 2008. All three projects are scheduled to start operations in January 2017.

The first of the three projects is the 23 MW Bubunawan hydropower project worth P5.07 B, located in Bukidnon. The project is estimated to produce an annual average of about 138 gigawatt hours (GWH) of electrical energy with a maximum annual generation capability of about 201 GWH of clean and renewable energy.

The second project worth P1.803  B will be situated within the Cabadbaran town of Agusan del Norte. The project is estimated to produce an annual average of about 50 GWH up to a maximum yearly generation capability of about 85 GWH of clean and renewable energy. - WealthSec