Order Received for Philippines/29MW Binary Power Generation Project at EDC’s Palayan Geothermal Power Plant

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 Turboden of Italy Will Supply Power Generation System, Mitsubishi Power Will Provide Local Support

Power to be generated making effective use of brine from existing flash type geothermal power plant, previously discharged, as heat source

♦ 29MW carbon neutral power will contribute to regional environmental and economic sustainability♦ CO2 reduction project to be implemented as Financing Programme for JCM Model Projects in FY2020

Tokyo: Turboden S.p.A., a Group company of Mitsubishi Heavy Industries, Ltd. (MHI) based in Lombardy, Italy, and Mitsubishi Power, Ltd. have jointly received an order for 29-megawatt (MW) binary cycle power generation equipment to be installed at the geothermal power plant operated in Palayan, in the southeastern sector of Luzon Island in the Philippines, by Energy Development Corporation (EDC), a local company which boasts of being the world’s largest vertically integrated geothermal company. Turboden will provide the complete power generation system, and Mitsubishi Power will provide support through its local resources. The order calls for project completion and operation startup by the end of 2022.

The power generation system to be provided by Turboden will add new binary cycle geothermal power equipment, whose key component is the company’s proprietary 29MW ORC (Organic Rankine Cycle) system*, to the existing 120MW flash type geothermal power plant owned and operated by Bac-Man Geothermal Inc. (BGI), an EDC power subsidiary. The new system will generate power making effective use of brine, which until now has merely been returned to a reinjection well. By replacing power in the power grid now derived from fossil fuels, etc., the new installation will enable reduction of CO2 emissions derived from steam power.

This project has been selected as a project for the Financing Programme for Joint Crediting Mechanism (JCM) Model Projects in FY2020 administered by Japan’s Ministry of the Environment and its execution body, the Global Environment Centre Foundation (GEC). In addition to helping to curb CO2 emissions in the Philippines, the project will contribute to Japan’s attainment of its CO2 reduction target. The new 29MW binary cycle power generation configuration is expected to trim CO2 emissions by approximately 72,200 tons per year (equivalent to some 20,000 hectares of forest). Mitsubishi Power will dispatch personnel to the site to offer installation guidance and handle domestic transport, etc. through MHI Power (Philippines) Plant Services Corporation, its local subsidiary which has a robust track record in constructions of geothermal and steam power plants as well as provision of power solutions.

Demand for electric power is expanding in the Philippines in tandem with GDP growth, and proactive measures are underway to introduce renewable energies. Thanks to its numerous volcanic islands, the Philippines ranks fourth worldwide in volume of geothermal resources, after the United States, Indonesia and Japan. The country also ranks third, after the United States and Indonesia, in geothermal power generation capacity. In terms of equipment capacity (development ratio) as a proportion of resource volume, the Philippines ranks highest worldwide, and the country is an aggressive developer of geothermal power in the global context also.

With the new binary cycle geothermal power generation to derive from the introduction of ORC technology under this project, additional excavation is unnecessary. As the brine from the existing geothermal power system can be used to generate power, introducing ORC technology into geothermal power plants, including the many facilities already developed in the Philippines, means that brine previously discharged can be used as an effective heat source, enabling its use as a readily available carbon neutral power source.

Going forward, MHI, as a global corporation pursuing the provision of a broad spectrum of high-efficiency power generation and energy systems, will work closely with Turboden to contribute through expanding adoption of binary cycle power generation equipment to a sustainable energy mix on a global scale. 

* The key component of Turboden’s binary cycle power generation equipment is an ORC (Organic Rankine Cycle) turbine that uses low-boiling-point organic matter (fluorocarbon, hydrocarbon, etc.) as the boiling medium. The generation system can use relatively low-temperature heat sources such as biomass, factory waste heat and geothermal energy. This equipment can generate up to 40MW of power and can be easily installed outside fuel-producing regions or at inland, desert or island locations lacking water resources. Power can be generated stably, without interference from weather factors.

About Mitsubishi Heavy Industries Group:

Mitsubishi Heavy Industries, Ltd. (MHI), headquartered in Tokyo, is one of the world’s leading industrial firms with 80,000 group employees and annual consolidated revenues of around 37 billion U.S. dollars. For more than 130 years, the company has channeled big thinking into innovative and integrated solutions that move the world forward. MHI owns a unique business portfolio covering land, sea, sky and even space. MHI delivers innovative and integrated solutions across a wide range of industries from commercial aviation and transportation to power plants and gas turbines, and from machinery and infrastructure to integrated defense and space systems.