First Gen Energy Solutions, Iloilo power coop ink MOA
Iloilo consumers will soon enjoy competitive power rates while at the same time helping preserve Panay’s fragile eco-system in the midst of threats associated with climate change.
Lawyer Salvador P. Cabaluna III, board president of Iloilo Electric Cooperative 1 (Ileco 1), said that officials of the cooperative are aware of the need to achieve the twin goals of keeping competitive electricity rates and protecting Panay’s environment.
Thus, Ileco 1 forged a memorandum of agreement (MOA) to start negotiations for a power supply agreement with First Gen Energy Solutions, Inc. (FGES), a subsidiary of Lopez-controlled First Gen Corporation and a licensed electricity aggregator, as well as retail energy supplier.
“My directors and I at Ileco 1 recognized that providing competitive power and preserving the Panay environment for our children and grandchildren must go hand-in-hand,” Cabaluna said. “The people of Panay are fortunate to have access to geothermal energy, which offers everyone a win-win solution.”
Richard B. Tantoco, First Gen and FGES executive vice president and chief operating officer, commended Ileco 1’s concern for its customers and for Panay’s eco-system.
“We congratulate the Board, Attorney Cabaluna and general manager Fred Billena of Ileco 1 for their vision and continuing commitment to their customers, as well as to the environment. We look forward to a long and beneficial partnership with Ileco 1,” Tantoco said.
The MOA gives Ileco 1 a head start in negotiating a new agreement with FGES for the supply of geothermal electricity that is reliable, environment-friendly, and competitively priced.
First Gen, the country’s leading clean and renewable energy firm, counts among its associates Energy Development Corporation, the Philippines’ largest and the world’s second-biggest producer of geothermal energy.
Unlike other fossil fuels, such as coal and oil which experts believe are responsible for climate change, geothermal energy harnesses steam from underground reservoirs to generate virtually carbon-free power. After using the steam to generate electricity, the water is injected back into the ground, making geothermal energy a renewable resource.
As part of the MoA, Ileco 1 and FGES have agreed to collaborate and develop initiatives that will benefit Ileco 1 customers by improving the cooperative’s already high service levels. The initiatives are in line with FGES’ approach to deliver customer value “beyond the meter.”
FGES has developed a range of products and services, like a smart power monitoring system, that help customers reduce their operating costs through energy efficiency.