Winds of Change

Powering towards energy independence

By Karen B. Bitagun

World oil prices have been steadily escalating for some time now. Fuel, a basic commodity, is increasingly becoming less affordable for consumers. This has put the Department of Energy under more pressure to come up with tangible results in its objective to promote renewable energy resources.

With the development of the Bangui Bay wind farm project, wind-powered energy resources have emerged as a viable option that brings the country one step closer toward energy self-sufficiency.

Largest in Southeast Asia

The 15-tower wind farm in Bangui Bay, Ilocos Norte, is the first in the Philippines and the largest energy-generating set of wind turbines in the Southeast Asian region. Inaugurated on 18 June, the turbines catch the breeze blowing in from the South China Sea and convert it into a total of 24.75 megawatts of energy.

Each of the 15 towers generates 1.65 MW of electricity. The turbines stand 70 meters tall and their rotor blades span 40 meters, catching wind power at 7 meters per second or 26 kilometers per hour. The turbines are 4 meters higher than the Quezon Monument in Quezon City, while the blades’ span equals the length of two volleyball courts. Each tower has a 6-meter diameter base. According to Ferdinand Dumlao, chairman of NorthWind Power Development Corporation, “You can actually put up an office inside. That's how huge the base is.”

NorthWind, a 60% Filipino-owned and 40% Danish-owned corporation, owns and manages the wind farm. Denmark-based Vestas Wind Systems, the biggest wind turbine manufacturer in the world, started the construction of the Bangui Bay wind project in 24 April 2004 in behalf of NorthWind. The power generated from the project is now connected to the Ilocos Norte Electric Cooperative, which distributes the wind-generated electricity to nearby communities.

The single row of wind turbines stretching nine kilometers along the Bangui shoreline is definitely a tourist attraction. It is hoped that, aside from the energy contribution, the turbines will aid tourism, since Ilocos Norte is also endowed with beautiful and pristine beaches.

Environment Friendly

Wind energy is a clean and reliable source of power. Its promotion is in line with the Philippine commitment to the 1997 Kyoto Protocol, an agreement among countries promising to limit climate-altering greenhouse-gas emissions to the environment that took effect this year.

“There was an offer from a foreign company to put a Bunker C oil power plant, but it was anti-environment, and it was also not a guarantee for stable power pricing because of currency risks and world market price fluctuations,” says Dumlao.

Fossil fuels also harm the environment. Carbon dioxide and dust emitted by coal power plants destroy the atmosphere. “Before the establishment of our wind farm, there was also another proposal to put up a coal plant. It was a bit inviting because it was cheaper compared to the oil-based power plant. But again, the people of Ilocos Norte right away rejected the idea because it did not guarantee stable pricing. But more than that, it will also hurt environment,” said Dumlao.

Energizing Philippines

The Bangui Bay wind power project is a milestone in the drive toward energy independence. The government, through the Department of Energy, aims to achieve 60% energy self-sufficiency by 2010. The Medium-Term Philippine Development Plan for the power sector aims to increase exploration of indigenous oil and gas; aggressively develop such renewable energy potential as biomass, solar, wind, and ocean resources; increase the use of alternative fuels; form strategic alliances with other countries; and strengthen and enhance energy efficiency and conservation programs.

As of December 2003, there were still 4,197 baranggays in the country without electricity. For its part, the Bangui Bay facility is expected to supply one-third of Ilocos Norte’s energy needs.

Converting the Potential

“The future of Southeast Asian wind power starts here,” said Dumlao. “We see huge potential for this technology in the Philippines and beyond.” According to the U.S. Department of Energy’s National Renewable Energy Laboratory, there are 47 provinces in the country with 500-MW energy potential. Furthermore, there are 25 provinces with 1,000-MW potential from the wind. The U.S. DOE-NREL also claims that an 11,000-square-meter area in the country could produce 76,000 MW of energy.

Meanwhile, according to a World Wildlife Fund–Philippines study tied up with the University of the Philippines’ National Engineering Center, the country has a potential installed capacity of 7,404 MW from wind power alone in 1,038 wind sites: 686 sites in 28 provinces of Luzon could produce 4,900 MW; 305 sites in the Visayas could produce 2,168 MW; and 47 sites in Mindanao could produce 336 MW. All these could power 19 million households.

The study estimates that the Philippines could save US$2.9 billion of fossil fuel imports for the next 16 years in case renewable energy is tapped. Every 1.5-MW wind turbine produces as much energy per year as 80,000 tons of brown coal, which is equivalent to 2,000 forty-ton trucks or a coal pile covering 80 by 80 meters and as high as the wind turbine.

Fuelling the Projects

The construction of the Bangui Bay wind farm was a US$44-million investment, which was acquired through a soft loan and grant from the Danish development aid agency DaniDA. The funding was arranged by three agencies—the Development Bank of the Philippines, the United Nations Development Program, and the Philippine Export-Import Credit Agency.

Other grants went to Philippine Hybrid System Inc. for wind energy projects in Marinduque, Masbate, and Romblon; Trans-Asia Renewable Energy Corporation for a 30-MW project in Pangasinan; and San Carlos Wind Power Corporation for a 25-MW energy plan in Negros Occidental.

Investing in wind farms is a good venture. The government strongly encourages renewable energy exploration. Executive Order 232 of former President Joseph Estrada in 2000 amended EO 462 (series of 1997), enabling the private sector to participate in the exploration, development, utilization, and commercialization of ocean, solar, and wind energy resources for power generation and other energy uses. Incentives offered to investors include tax income holidays and reduced duty rates for imported capital equipment. The government also aids the sponsoring company in obtaining loans for the finances.

Curse or Blessing?

A country of 7,100 islands has both drawbacks and benefits. For one, it is difficult to supply electricity to remote areas. About 4,000 of the unenergized barangays are found in off-grid areas. To electrify one barangay, at least P1 million is needed.

On the other hand, the Philippine archipelago has been endowed with great wind energy potential. Hopefully, the Bangui Bay wind farm will be followed by other projects that will also tap this potential. Then maybe in the near future, access to electricity will finally become a reality for all Filipinos.