Coal Demand in the Philippines

COAL DEMAND IN THE PHILIPPINES

ATTY. RINO E. ABAD

Director

Energy Resource Development Bureau, DOE

CURRENT DEMAND FOR COAL

Primary Energy Supply Mix (2013) Primary Energy Supply Mix in million tons of oil equivalent (MTOE)

Fuel Type/Source 2008 2013

Actual

Indigenous Energy

23.9 25.5

Coal 1.9 3.7

Natural Gas 3.2 2.9

Oil 0.7 0.7

Hydro 2.5 2.5

Geothermal 9.2 8.3

Solar 0.0 0.0

Wind 0.0 0.0

Biomass 6.3 7.3

Biofuels 0.1 0.2

Net Imported Energy

16.6 19.5

Coal 4.5 6.3

Natural Gas

Oil 12.1 13.0

Biofuels 0.0 0.2

Total Supply 40.5 45.0

Self-Sufficiency 59.0% 56.8%

Indigenous Energy

57%

Imported Energy

43%

Self-Sufficiency Mix

Coal

22%

Natural Gas

6%

Oil

31%

Biofuel

1%

Hydro

6%

Geothermal

18%

Solar

0%

Wind

0%

Biomass

16%

PRIMARY ENERGY SUPPLY MIX

Primary Energy Supply Mix

in million tons of oil equivalent (MTOE)

Fuel Type/Source 2008 2013

Actual

Indigenous Energy 23.9 25.5

Coal 1.9 3.7

Natural Gas 3.2 2.9

Oil 0.7 0.7

Hydro 2.5 2.5

Geothermal 9.2 8.3

Solar 0.0 0.0

Wind 0.0 0.0

Biomass 6.3 7.3

Biofuels 0.1 0.2

Net Imported Energy

16.6 19.5

Coal 4.5 6.3

Natural Gas

Oil 12.1 13.0

Biofuels 0.0 0.2

Total Supply 40.5 45.0

Self-Sufficiency 59.0% 56.8%

2013 COAL CONSUMPTION,

BY MAJOR TYPE OF USER in thousand metric tons (MT)

Power Generation 14,762.46

Cement

3,154.69

Industrial Uses/Others

1,005.06

Total 18,922.21 78%

17%

5%

Power Generation Cement




POWER 86%

CEMENT 7%

INDUSTRY 7%

CONSUMPTION OF IMPORTED COAL(76%)

Power Generation 12,408.30

Cement 1,017.012

Industrial Uses/Others 989.28

Total

14,414.59



POWER 53%

CEMENT 46%

INDUSTRY 0%

CONSUMPTION OF LOCAL COAL(24%) Power Generation

2,353.80

Cement

2,042.92


44.41

Total

4,441.14



TYPE OF COAL CONSUMPTION

BITUMINOUS

(IMPORTED) 14,191.66

ANTHRACITE

(IMPORTED) 189.22

SUB-BITUMINOUS

(LOCAL) 4,541.33

TOTAL 18,922.21

BITUMINOUS 75%

ANTHRACITE 1%

SUB-BITUMINOUS

24%

CONSUMPTION BY TYPE OF COAL

2013 Coal Consumption for Power Generation

in thousand metric tons (MT)

LUZON (8)

POWER PLANT

(IC = 4,530.60 MW)

TYPE OF POWER

PLANT LOCATION CONSUMPTION (MT)

Aboitiz/Thermal PC Pagbilao 1,764,882.00

San Miguel PC Sual 2, 654,871.00

Semirara/DMCI PC/CFB Calaca 1,509,230.00

AES-MPPCL PC Masinloc

1,842,945.00

Quezon Power PC Pagbilao 1,870,100.00

GN Power PC Bataan 1,539,132.00

Petron Corp PC Manila 250,407.00



VISAYAS (3)

POWER PLANT

(IC = 805.6 MW)

TYPE OF POWER

PLANT LOCATION

CONSUMPTION

(MT)

Global Power Group CFB

Toledo

64,932.00

Cebu

933,905.00

Panay

596,138.00

Cebu Thermal Power Plant PC Cebu

106,632.00

Kepco-SPC PC Naga

816,978.00



MINDANAO (1)

POWER PLANT

(IC = 232 MW)

TYPE OF

POWER

PLANT

LOCATION CONSUMPTION (MT)

STEAG PC Misamis

Oriental 812,311.00

TOTAL 14,762,464.00

*Note: Total of 12 Power Plants

List of Cement Plants (17):

Cement Plants Consumption (MT)

Eagle Cement 190,574.00

Holcim (4) 724,949.00

La Farge (6) 1,405,709.00

Cemex (2) 487,751.00

Taiheiyo Cement 101,399.00

Goodfound Cement 59,684.00

Northern Cement 135,325.00

Pacific Cement 49,300.00

Total 3,154,691.00

A Total of 17 Cement Plants:

• Holcim has 4 Plants

• La Farge Has 6

• Cemex has 2

List of Industrial Plants (25):

Industrial Plants Asian Alcohol

Asia Pacific

Energy

Taganito HPAL

Nickel Pasar Philphos

Consumption (MT) 29,610.19 201,334.45 114,000.00 8,013.86 5,040.00

Industrial Plants Ligo Phil. Sinter Pacifc Meat Celebes Mega Fishing

Consumption (MT) 1,200.00 215,505.48 5,040.00 2,703.84 2,010.48

Industrial Plants Del Monte Shemberg PERMEX Sprint

Industrial UPPC

Consumption (MT) 42,135.48 10,529.45 1,599.96 4,929.00 121,511

List of Industrial Plants:

Industrial Plants Coral Bay Lopez Sugar TATEH Quanta Paper Santeh Feeds

Consumption (MT) 183,490.68 5,535.00 2,068.80 6,330.00 6,241.98

Industrial Plants Columbus GenTuna Phidco Philbest OCEAN CANNING

Consumption (MT) 3,853.92 18,000.00 2,220.00 5,790.00 6,364.74

TOTAL 1,005,059.00

*Note: Total of 25 Industrial Plants

FUTURE COAL DEMAND

PHILIPPINE POLICY FRAMEWORK: ENERGY

REFORM AGENDA ON ENSURING ENERGY

SECURITY, ACHIEVING OPTIMAL ENERGY PRICE

AND DEVELOPING SUSTAINABLE ENERGY

SYSTEM:

Continuous offering of prospective areas under the PECR

Continuous implementation of small-scale coal mining

Strengthening coordination with other agencies of the Government on endorsement/permitting requirements of coal contracts

Positive outlook of the Philippines towards achieving lasting peace in conflict areas

PHILIPPINE POLICY FRAMEWORK: ENERGY

REFORM AGENDA ON ENSURING ENERGY

SECURITY, ACHIEVING OPTIMAL ENERGY PRICE

AND DEVELOPING SUSTAINABLE ENERGY

SYSTEM:

PHILIPPINE ENERGY FRAMEWORK

(2014-2018)

HISTORICAL CONSUMPTION (2008-2013) AND

FORECASTED CONSUMPTION(2014-2018)

• Consumption for the past five years has been increasing at an

average rate of 11% per year or around 1.6 MMT per year

• Out of the 1.6 Million MT: (1) 0.384M (24%) – Local

(2) 1.216M (76%) – Imported

-

5.00

10.00

15.00

20.00

25.00

30.00

2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

in m

illion M

T

years

OVERALL COAL PERFORMANCE

2008-2013

2014-2018

Power Generation, Total Philippines

in gigawatt-hours (GWh)

Source/Plant Type Actual

2008 2013

Oil-Based

4,868

4,491

Coal

15,749

32,081

Natural Gas

19,576

18,791

Hydro

9,843

10,019

Geothermal

10,723

9,605

Other Renewable*

63

279

Total Generation

60,821

75,266

Self-Sufficiency (%)

67.1

56.2

*Wind,Solar,Biomass

Oil-Based

6%

Coal 43%

Natural Gas 25%

Hydro 13%

Geothermal

13%

Other Renewable*

0%

POWER GENERATION MIX

POWER GENERATION FORECAST (MW)

POWER GENERATION FORECAST (MW) 2013 2014 2015 2016 2017 2018

LUZON

Highest Peak Demand (MW) 8,305.00 8,653.81 9,017.27 9,450.10 9,903.70 10,379.08

Demand Growth Rate 4.20% 4.20% 4.20% 4.80% 4.80% 4.80%

GDP Growth Rate 7.00% 7.00% 7.00% 7.00% 7.00% 7.00%

Additional Capacity Required (MW) 416.00 348.81 363.46 432.83 453.60 475.38

Additional Regulating Reserve (MW) 16.64 13.95 14.54 17.31 18.14 19.02

VISAYAS



GDP Growth Rate 7.00% 7.00% 7.00% 7.00% 7.00% 7.00%



MINDANAO



GDP Growth Rate 7.00% 7.00% 7.00% 7.00% 7.00% 7.00%



Total Highest Peak Demand (MW)

11,359.60

11,836.70

12,333.84

12,925.87

13,546.31

14,196.53

Total Additional Capacity Required (MW) 622.49 496.19 517.03 615.71 645.26 676.23

FORECASTED DEMAND EQUIVALENT IN COAL (MT)

Year

Total Required

Additional

Capacity (MW)

Coal Power

Plant(43%)

(MW)

Equivalent Metric

Ton per Year per

MW

Equivalent Coal

Requirement for

Power (MT)

Total Coal Usage

Requirement (78%

for Power)

2013

622.49

267.67

4,320.00

1,156,340.04

1,482,487.23

2014

496.19

213.36

4,320.00

921,717.45

1,181,689.04

2015

517.03

222.32

4,320.00

960,429.59

1,231,319.98

2016

615.71

264.75

4,320.00

1,143,734.43

1,466,326.20

2017

645.26

277.46

4,320.00

1,198,633.69

1,536,709.85

2018

676.23

290.78

4,320.00

1,256,168.10

1,610,471.93

Note: (1) 1 MW= 12 MT/ Day; (2) 1 year = 360 days

• Expected consumption, based from the above figures,

for the 2014 to 2018 will be around 1.4 MMT per year

• Out of the 1.4 Million MT: (1) 0.34M – Local (24%)

(2) 1.06M – Imported(76%)

Summary of Committed Power Plants as of

September 2014

COMMITTED LUZON VISAYAS MINDANAO

TOTAL NO.

OF

PLANTS CAPACITY (MW)

2014 1 1 2 217.00

2015 3 2 5 1,017.00

2016 1 1 2 4 1,275.00

2017 1 1 2 960.00

2018 1 1 460.00

TOTAL 7 2 5 14 3,929.00

Summary of Indicative Power Plants as of

September 2014

INDICATIVE LUZON VISAYAS MINDANAO TOTAL CAPACITY (MW)

2015 1 1 20.00

2016 1 2 3 6 1,270.00

2017 4 1 1 6 2,200.00

2018 2 2 4 2,400.00

2019 1 1 1,200.00

2020 2 2 640.00

TOTAL 10 3 7 20 7,730.00

Committed Coal Power Plants (Luzon) as of September 2014

Name of the Project Project Proponent Location Rated Capacity

(MW)

Target Testing &

Commissioning Target Commercial Operation

COAL

1,372.00

135 MW Puting Bato Coal

Fired Power Plant Phase I

South Luzon Thermal

Energy Corp. (SLTEC)

Brgy. Puting Bato

West, Calaca,

Batangas

135 May 2014 October 2014

2 X 150 MW SLPGC Coal-

Fired Power Plant Phase I

Southwest Luzon Power

Generation Corporation

(Project Company)

Brgy. San Rafael,

Calaca, Batangas 300

Unit I & II -December

2014

Unit 1 - March 2015

Unit 2 -

June 2015;

135 MW Puting Bato Coal

Fired Power Plant Phase II

South Luzon Thermal

Energy Corp. (SLTEC)

Brgy. Puting Bato

West, Calaca,

Batangas

135 June 2015 November 2015

Anda Power Corporation's

82 MW Ciculating Fluidized

Bed Coal Fired Power Plant

Anda Power Corporation

Brgy. Bundagul,

Mabalacat,

Pampanga

82 June 2015 October 2015

300 MW Limay Power Plant

Project Phase I

(2x150MW)

SMC Consolidated

Power Corporation

Brgy. Lamao, Limay,

Bataan 300

Unit 1 - 150 MW -

March 2016

Unit 2 - 150 MW -July

2016

Unit 1 - 150 MW -May 2016

Unit 2 - 150 MW -September 2016

1 x 420 MW Pagbilao Coal-

Fired Thermal Power Plant

Pagbilao Energy

Corporation

Pagbilao Power

Station, Nrgy.

Ibabang Polo,

Pagbilao, Quezon

420 Between May to

November 2017 November 2017

San Buenaventura Power

Ltd. Co. (SBPL) Project

San Buenaventura

Power Ltd. Co. (SBPL)

Mauban, Quezon 460 December 2017 June 2018

Indicative Coal Power Plants (Luzon)


(MW)

Target Testing &


COAL

5,740.00

4 X 150 MW Coal Fired

Thermal Power Plant

JG Summit Holdings,

Inc.

Brgy. Pinamukan Ibaba,

Batangas City 600

Unit 1 - June 2018

Unit 2 - Dec 2018

Unit 3 - June 2019

Unit 4 - Dec 2019

Unit 1 - June 2018

Unit 2 - Dec 2018

Unit 3 - June 2019

Unit 4 - Dec 2019

(Target Testing & Commissioning Date)

2 X 20 MW FDC Camarines

CFB Coal Power Plant FDC Utilities, Inc. Camarines Sur 40 March 2016 TBA

2 X 300 MW Coal-Fired Power

Plant

Redondo Peninsula

Energy, Inc.

Sitio Naglatore, Cawag,

Subic Bay Freeport Zone 600

Unit I - October 2016

Unit II - December

2016

(Target

Commencement of

Construction will be

Dependent on Supreme

Court decision on Writ

of Kalikasan Case.)

Target Commercial Operation will be

Dependent on Supreme Court decision on

Writ of Kalikasan Case;

2 X 150 MW SLPGC Coal-

Fired Power Plant Phase II

Southwest Luzon

Power Generation

Corporation (Project

Company)

Brgy. San Rafael, Calaca,

Batangas 300

Unit I - 2016

Unit II - 2016 2017

2 X 300 MW Masinloc

Expansion

AES Masinloc Power

Partners Co., Inc. Zambales 600

Unit 3 (300 MW) -

October 2017

Unit 4 (300 MW) -

October 2017

3rd Quarter of 2017

(Target Testing and Commissioning)

Indicative Coal Power Plants (Luzon)


(MW)

Target Testing &


COAL

5,740.00

1x300 MW Coal Power

Plant Lucidum Energy, Inc.

Silanguin Bay,

Zambales 300 June 2017

June 2017

(Target Testing & Commissioning)

2 X 600 MW Mariveles

Expansion Project

GNPower Mariveles Coal

Plant Ltd. Co. Mariveles, Bataan 1200 2018 2018

2 x 600 MW (net) Coal-

Fired Power Plant

Meralco PowerGen

Corporation (Project

Company: Atimonan

One Energy

Atimonan, Quezon 1,200 2019 2019

300 MW Limay Power

Plant Project Phase II

(2x150MW)

SMC Consolidated

Power Corporation

Brgy. Lamao, Limay,

Bataan 300

Unit 1 - December

2016

Unit II - May 2017

Unit 1 - December 2016

Unit II - May 2017


600 MW Limay Power

Plant Project Phase III

(2x300MW)

SMC Consolidated

Power Corporation

Brgy. Lamao, Limay,

Bataan 600

Unit 1 - October 2017

Unit II - December

2017

Unit 1 - October 2017

Unit II - December 2017


1x300 MW Coal Power

Plant Lucidum Energy, Inc.

Silanguin Bay,

Zambales 300 June 2017

June 2017


2 X 600 MW Mariveles

Expansion Project

GNPower Mariveles Coal

Plant Ltd. Co. Mariveles, Bataan 1200 2018 2018

Committed Coal Power Plants (Visayas)

Name of the

Project

Project

Proponent Location

Rated

Capacity

(MW)

Target Testing &


COAL

352.00

TPC Coal-Fired

Power Plant

Expansion Project

(1 x 82 MW Coal-

Fired Power Plant

Toledo Power

Company

Toledo City,

Cebu 82 October 2014 December 2014

2 X 135 MW

Concepcion Coal-

fired Power Plant

Phase 1-135MW

(1st Unit)

Phase 2-135MW

(2nd Unit)

Palm Thermal

Consolidated

Holdings Corp.

Brgy. Nipa,

Concepcion,

Iloilo

270

1st Unit - 3rd

Quarter of 2015

2nd Unit - May

2016 to

September 2016

(specific dates for

the 2nd unit will

still be firmed up

after 1st unit's

commencement

of construction)

1st Unit - 2nd Quarter of 2016

2nd Unit - November 2016

(specific dates for the 2nd unit

will still be firmed up after 1st

unit's commencement of

construction) ;

Indicative Coal Power Plants (Visayas)


(MW)

Target Testing &


COAL

5,740.00

PEDC Expansion

Project

Former report

(1x150 MW

Circulating Fluidized

Bed (CFB) Coal-

Fired Power Plant)

Panay Energy

Development

Corporation

(Global Business

Power

Corporation)

Brgy. Ingore,

La Paz, Iloilo 150 May 2016 July 2016

1 X 20 MW FDC

Danao CFB Coal

Power Plant

FDC Utilities, Inc. Danao City,

Cebu 20 2016

2016

(Target Testing and

Commissioning)

300 MW Therma

Visayas Energy

Project

Therma Visayas

Inc.

Brgy. Bato,

Toledo City,

Cebu

300 March 2017 June 2017

Committed Coal Power Plants (Mindanao)


(MW)

Target Testing &


COAL

1,745.00

2 X 150 MW Coal-

Fired Therma South

Energy Project

Therma South Inc.

Brgy. Binugao, Toril,

Davao City and

Brgy. Inawayan,

Sta. Cruz, Davao

Del Sur

300

Unit 1 - November 2014

Unit 2 -November 2014

Unit 1 -

31 March 2015

Unit 2 -

30 June 2015

2 X 100 MW Southern

Mindanao Coal Fired

Power Station

Sarangani Energy

Corporation

Brgy, Kamanga,

Maasim, Sarangani 200 Phase 1 - February 2015 Phase 1 - September 2015

3 X 135 MW FDC-

Misamis Circulating

Fluidized Bed (CFB)

Coal-Fired Power Plant

Project

FDC Utilities, Inc.

Phividec Industrial

Estate, Villanueva,

Misamis Oriental

405

1st Unit - December

2015

2nd Unit -

March 2016

3rd Unit-

June 2016

1st Unit -

June 2016

2nd Unit - September 2016

3rd Unit-

December 2016

300 MW SMC Davao

Power Plant Project

Phase I

2x150MW

San Miguel

Consolidated Power

Corporation

Brgy. Culaman,

Malita, Davao del

Sur

300

Unit 1 -

December 2015

Unit 2 -May 2016

Unit 1 -

February 2016

Unit 2 -July 2016


GNPower Kauswagan

Ltd. 540MW Clean

Coal-Fired Power Plant

GN Power

Kauswagan Ltd. Co.

Kauswagan, Lanao

del Norte 540 February 2017 December 2017

Indicative Coal Power Plants (Mindanao)

Name of the Project Project Proponent Location Rated Capacity (MW) Target Testing &


COAL

5,740.00

PEDC Expansion

Project

Former report

(1x150 MW


Bed (CFB) Coal-

Fired Power Plant)

Panay Energy

Development

Corporation

(Global Business

Power Corporation)

Brgy. Ingore, La Paz,

Iloilo 150 May 2016 July 2016

1 X 20 MW FDC

Danao CFB Coal

Power Plant

FDC Utilities, Inc. Danao City, Cebu 20 2016 2016


300 MW Therma

Visayas Energy

Project

Therma Visayas Inc. Brgy. Bato, Toledo

City, Cebu 300 March 2017 June 2017


(MW)

Target Testing &


COAL

1,230.00

Davao del Norte 20

MW Circulating

Fluidized Bed

Biomass-Coal Fired

Thermal Power

Plant

FDC Utilities, Inc. Maco, Davao del

Norte 20 March 2015

March 2015


ZAM 100 MW


Bed (CFB) Coal-

Fired Power Station

San Ramon Power

Inc.

Sitio San Ramon,

Bgry. Talisayan,

Zamboanga City

100 December 2015 June 2016

600 MW SMC

Davao Power Plant

Project Phase III

San Miguel

Consolidated Power

Corporation

Brgy. Culaman,

Malita, Davao del

Sur

600

Phase I

Unit 1 (150MW) - January

2016

Unit 2 (150MW0 - June

2016

Phase II

300 MW - Dec 2018

Phase I

Unit 1 (150MW) - January 2016

Unit 2 (150MW0 - June 2016

(Testing and Commissioning)

Phase II

300 MW - Dec 2019

Indicative Coal Power Plants (Mindanao)

Name of the Project Project Proponent Location Rated Capacity (MW) Target Testing &


COAL

1,230.00

Sibuguey Power

Plant Project

Philippine National Oil

Company (PNOC-EC)

Sibugay,

Zamboanga 100 September 2016

September 2016


2x55 MW Balingasag

Thermal Power Plant

(Circulating Fluidized

Bed Combustion

(CFBC) Coal-Fired

Power Plant Plant)

Minergy Coal

Corporation

Brgy. Mandangoa,

Balingasag,

Misamis Oriental

110 January 2017 January 2017


300 MW Coal Fired

Power Plant

Phase 1 - 2 x

100MW

Phase 2 - 1 x

100MW

Ozamiz Power

Generation, Inc.

Brgy. Pulot,Ozamiz

City,Misamis

Occidental

300

Phase 1 - 2 x 100MW -

March 2018

Phase 2 - 1 x 100MW -

2018

Phase 1 - 2 x 100MW -September

2018

Phase 2 - 1 x 100MW - 2018

300 MW SMC Davao

Power Plant Project

Phase II

San Miguel

Consolidated Power

Corporation

Brgy. Culaman,

Malita, Davao del

Sur

300 December 2018 December 2018


Low Carbon Scenario vs. Business As Usual

Coal

22%

Natural

Gas

7%

Oil

31%

Hydro

6%

Geothermal

18%

Solar &

Wind

0%

Biomass

16%

Biofuels

0%

2013 Energy Mix

Coal

27%

Natural

Gas

9%

Oil

30% Hydro

5%

Geothermal

21%

Solar &

Wind

0%

Biomass

8%

Biofuels

0%

2018 Business As Usual

Coal

27%

Natural

Gas

9%

Oil

30%

Hydro

5%

Geothermal

21%

Solar &

Wind

0%

Biomass

8%

Biofuels

0%

2018 Low Carbon Scenario

Total Energy: in million tons of oil equivalent (MTOE)

YEAR BAU LCS

2013 44.90 44.90

2018 50.60 50.60

2030 73.85 77.52

Coal

27%

Natural

Gas

9% Oil

30%

Hydro

5%

Geotherma

l

21%

Solar &

Wind

0%

Biomass

8%

Biofuels

0%


Coal

39%

Natural Gas

11%

Oil

25%

Hydro

15%

Geothermal

3%

Solar & Wind

0%

Biomass

4% Biofuels

3%


Total Energy: in million tons of oil equivalent (MTOE)

YEAR BAU LCS

2013 44.90 44.90

2018 50.60 50.60

2030 73.85 77.52

Low Carbon Scenario vs. Business As Usual

Low Carbon Scenario: Energy Supply Mix

Forecast

Coal: in million tons of oil equivalent (MTOE)

YEAR BAU LCS

2014 10.201 10.201

2015 10.916 10.916

2016 11.9208 11.9208

2017 12.8752 12.8752

2018 13.9002 13.9002

2019 14.69 14.69

2020 15.76 14.98

2021 16.96 15.26

2022 18.2 15.56

2023 18.98 15.89

2024 20.33 16.23

2025 21.59 16.61

2026 23.13 17.01

2027 24.09 17.44

2028 25.57 17.9

2029 27.12 18.4

2030 28.73 18.93

0.0

5.0

10.0

15.0

20.0

25.0

30.0

35.0

20

08

20

13

20

14

20

15

20

16

20

17

20

18

20

19

20

20

20

21

20

22

20

23

20

24

20

25

20

26

20

27

20

28

20

29

20

30

in M

TO

E

Year

BAU

LCS

• BAU – Business As Usual

• LCS – Low Carbon Scenario

Thank you for your attention!

Documents

Coal Demand in the Philippines