ACEN, GenZero, and Keppel to catalyse retirement of coal-fired power plants in SE Asia

When completed, this project is expected to be one of the first converted CFPPs in the world to generate TCs. This pioneering initiative reflects the shared commitment of the partners to accelerate the orderly and just transition to clean energy in Southeast Asia.

Under the MOU, the parties will jointly undertake a development study to explore utilising TCs to facilitate the project’s implementation and achievement of the early retirement goal. The origination and sale of TCs will help to accelerate the decommissioning of the 246 MW SLTEC CFPP located in Calaca, Batangas by 10 years (i.e. 2030), and also support just transition initiatives.

Cindy Lim, CEO of Keppel’s Infrastructure Division, said:

“Keppel is delighted to collaborate with ACEN and GenZero in exploring the novel use of high-quality transition credits as a catalyst for the clean energy transition, especially in the hard-to-abate power generation sector. This project will serve as a pathfinder and pave the way for more coal-fired power plants to be retired and replaced with cleaner energy facilities. The partnership provides us the opportunity harness both technological and financing solutions to accelerate the shift towards low-carbon and renewable energy sources in the Southeast Asia region.”

Frederick Teo, CEO of GenZero, said:

“Cross-border collaboration is critical to achieve a just energy transition in Southeast Asia and help our economies achieve our decarbonisation objectives. Transition credits can help crowd in catalytic financing for such coal-to-clean energy initiatives. We are excited to partner with ACEN and Keppel to bring complementary expertise from the Philippines and Singapore to pilot a scalable model that can accelerate such decarbonisation efforts globally.”

Cezar Consing, Ayala Corporation CEO and ACEN Chairman, said:

“Partnership is an integral part of Ayala’s strategy and culture. We look forward to this potential partnership among regional champions in energy transition.”

Eric Francia, President & CEO of ACEN, said:

“We appreciate the strong support of Keppel and GenZero for this pioneering initiative. The Philippines is at the forefront of energy transition initiatives, and this collaboration potentially unlocks further opportunities in the country. We also believe that this model can scale across the region, and even globally.”

The project will also explore the development of end-to-end technological solutions and economic model of the coal-to-clean transition focused on the replacement of the 246 MW baseload of the CFPP with a mid-merit integrated renewables and energy storage system (IRESS) consisting of solar plant and battery storage.

In retiring the SLTEC CFPP, the partners will also take into account environmental, social and governance considerations and best practices. This includes the training of workers and communities, asset repurposing, and the decommissioning of the plant in a manner that minimises the impact on communities and the local environment.

Read the article online at: https://www.worldcoal.com/coal/20082024/acen-genzero-and-keppel-to-catalyse-retirement-of-coal-fired-power-plants-in-se-asia/