Under the terms of the agreement, the team will be responsible for the financing, design, construction, ownership and operation of a biomass power plant, which will be located within the premises of RHI’s Central Azucarera de la Carlota.
A joint venture company will also be launched by the two firms to operate the plant, which is scheduled to be completed by 2017.
RHI chairman Pedro Roxas said: "The cogeneration project will not only help stabilise the power supply in our Negros Occidental plant but will also address the growing concern on energy supply.
RHI president and CEO Renato Valencia said: "With the ASEAN Free Trade Agreement in place by 2015, the project will enable us to minimize our production cost and optimize our efficiency to stay competitive with our ASEAN neighbors."
GBPC executive vice president Jaime Azurin said: "We are constantly exploring new energy sources as we remain committed in providing adequate, reliable and cost-efficient power supply to support the development of existing and emerging markets in the country."
