Japan’s Kansai Electric Power invests in Wawa hydropower project

MANILA, Philippines — Kansai Electric Power Co. is expanding its reach beyond Japan with a 14-percent stake acquisition in PMJVCo Holdings Inc., the group behind a large-scale pumped storage hydropower project in Rizal province.

Lopez-led First Gen Corp. said Kansai signed definite agreements to subscribe to the equity interest in PMJVCo. The value of the deal was not disclosed.

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PMJVCo is a subsidiary of Prime Infrastructure Capital Inc. of tycoon Enrique Razon, which has a strong presence in renewable energy, water and construction.

Entry into PMJVCo gives Kansai a hold of the Wawa Pumped Storage Hydropower Project, which is designed to have a maximum generation capacity of 600 megawatts (MW).

Wawa was tagged as an energy project of national significance by the government, allowing its operator to enjoy faster permitting processing.

First outside Japan

This marks Kansai’s first pumped storage hydropower project investment outside its home soil.

“Kansai’s investment in the project will leverage its knowledge and expertise, and promote the development and expansion of renewable energy both in Japan and overseas, contributing to the realization of a zero-carbon society,” First Gen’s statement read.

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The new venture also boosts Kansai’s total attributable generation capacity outside Japan to 2,500 MW.

Once the transaction is completed, PMJVCo will be 86-percent owned by Prime Hydropower Energy Inc., in which FGEN Aqua Power Holdings Inc. holds 33 percent.

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**READ: First Gen banking on hydro power plants **

2,000 MW

Last May, First Gen president and COO Francis Giles Puno said he has high hopes for the P62-billion investments in Prime Infrastructure Capital Inc.’s hydro assets, boasting about 2,000 MW of pumped-storage hydro capacity.

The deal involves the acquisition of a 33-percent stake, covering the 1,400-MW Pakil Pumped Storage Hydroelectric Power Project in Laguna and the 600-MW Wawa Pumped Storage Hydroelectric Power Project in Rizal.

Clean electricity generators have been equipping their facilities with storage capacity to set aside excess power, giving them the flexibility to release it when demand peaks. INQ