DOE expects Php12 billion in ethanol investments

The Philippine Department of Energy (DOE) expects some Php12 billion (US$264 million) to be invested in ethanol plants in preparation for the mandated use of ethanol in gasoline next year. Energy Secretary Angelo Reyes said the DOE had granted six company endorsements for Board of Investments registration under the Investments Priorities Plan. These plants will have a combined annual production capacity of around 240 million liters, which will support the projected demand of 223 million liters of ethanol in 2009, he said. The facilities of San Carlos Bioenergy Inc., one of the companies with a BOI endorsement, in Negros Occidental, is now under construction and will be operational in the fourth quarter of 2008. Reyes said eight more companies expressed “serious commitment” to enter the ethanol business. Letters of interest continued to pour in, Reyes said, including from Negros Southern Integrated Biofuels Corp., JG Itochu, Tamlang Valley Ethanol, BM SB Integrated Biofuels, Negros Biochem Corp., Fuel Inc. and Ginebra San Miguel Inc. Possible investments of more than Php20 billion (US$440 million) from these companies, he said, could translate to 621.6 million liters of ethanol a year. (September 15, 2007)