BusinessWeek Mindanao (August 23-25, 2013)

Page 1

Volume IV, No. 10

www.businessweekmindanao.com

BusinessWeek MINDANAO

YOUR LOCAL ONLINE BUSINESS PAPER

www.businessweekmindanao.com

Market Indicators

As of 6:02 pm AUG. 22, 2013 (Thursday)

FOREX

PHISIX

US$1 = P44.17

6,136.73 points

53 cents

X

X

389.22 points

Briefly Internet cafes IN response to the clamor of the private and public teachers against the operation of internet cafes that affect the school performance of students, the city council on August 16 led the spot inspection of five internet cafes operating both at Divisoria and Macanhan in Barangay Carmen, Cagayan de Oro City. During the inspection led by Councilor Adrian Barba, several students were caught playing online games, some were in school uniforms. All the students had no consent card signed by their parents and school principals. The issuance of consent cards is mandated by Ordinance No. 8099-2002, which amends Ordinance No 7820-2001. The law requires owners of internet cafes to design and give consent cards for free to students who will use the facilities of their establishment.

For Inquiries: Call or Text : (02) 577-3812 09178445981 Email: care@rejuvginseng.com Website: www.rejuvginseng.com

TO BOOST MINDANAO’S POWER SUPPLY

Power coop takes on bunker-fuelled plant

S

By CHRIS V. PANGANIBAN, Regional Editor

AN FRANCISCO, Agusan del Sur -- The local electric cooperative in this province will bank on cheaper bunker-fuelled power supply to address the prevailing power crisis which continues to haunt the island of Mindanao.

Agusan del Sur Electric Cooperative (Aselco) has entere d into a 15-ye ar build, operate, maintain and transfer scheme with A. Brown Company, Inc. (ABCI) for the setting up of a 15-megawatt bunker-fuelled power plant called Peakpower San Francisco, Inc. A soft launch for the P100 million power plant was held Wednesday at the project site in Brgy. San Isidro, San Francisco, Agusan del Sur with the province’s second

district Rep. Evelyn Mellana, AB CI Chairman Walter Brown and 1Care partylist Rep. Edgardo Masongsong as guests. Anselco General Manager Engr. Emmanuel Galarse, Aselco general manager, said the power plant is a better alternative from their previous plan to acquire a diesel-powered modular generating sets through a loan from National Electrification Administration after realizing takes/PAGE 15

Oil palm DAVAO City -- Oil palm should be among the preferred crops for planting in areas ravaged by typhoon Pablo in Davao Oriental, Sen. Cynthia A. Villar said. Ms. Villar, head of the Senate’s agriculture committee, said that she met with farmer-leaders and plans to establish a program promoting oil palm in some areas previously planted with coconut. Oil palm, she said, will live three and a half years, and inter-cropping with corn and cacao between the trees could be promoted.

P15.00

August 23-25, 2013

BUNKER-FUELLED PLANT. Officials lay the time capsule during the soft launch of a P100M bunker-fired power plant in Agusan del Sur. photo by chris v . panganiban

Gas seen as expensive option for M’nao grid By MYRNA M. VELASCO, Contributor

WHAT A WAY TO RELAX! A man and his child take a nap on a bench at the De Lara Park, Capitol Compound in Cagayan de Oro City. photo by gerry lee gorit

Unleashing the talent of Mindanao’s youth DAVAO C i t y - - A n n e Pamintuan can easily spot talent when she sees it. This uncanny ability was developed by this lady

entrepreneur after more than a decade of helping launch the careers of promising designers from Mindanao. talent/PAGE 15

TO push for future diversification in Mindanao grid’s power supply, liquefied natural gas (LNG) is being aligned as an alternative but a study commissioned by the World Bank presented it to be a pricier option. The simulations presented by Canadian Gas Services International (CGSI), the entity tapped by the World Bank for the study, indicated that gas or LNG will be twice to thrice more expensive than coal – the latter being anticipated as the major source of Mindanao’s new

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power supply starting 2015. However, if compared to diesel or bunker-C fuel with forecast delivered costs of $20 to $36 per MMBTU over 20-year stretch, gas will emerge less expensive. The size of the anchor power plant for proposed LNG storage facilities should be in the range of 300 to 450 megawatts, the study noted. In particular, the planned LNG facility at the Phividec Industrial Estate in Cagayan de Oro will have a delivered gas cost of $13.80 per million BTU in year one and

increasing to $18.30 by year 20. The projected average gas price for the duration will be $13.27 per MMBTU. “Of this total, approximately $12.95 is attributable to the commodity, while the remaining $0.32 is allocated to the cost of the distribution infrastructure,” the study has emphasized. Comparatively, the cost of coal-based generation will be roughly twice lower at $4.19 per million BTU equivalent at year1 (which is reckoned at year 2013); and will just climb to $4.78 by year 20 expensive/PAGE 15

IN-DEPTH

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