Thai company to help develop first smart power plant in Philippines

FRIDAY, JUNE 14, 2024

A subsidiary of Thailand’s petrochemical giant SCG Chemicals (SCGC) is partnering with one of the Philippines' major power producers to develop the Southeast Asian country’s first smart power plants, according to a joint statement issued on Thursday.

The collaboration between SCGC subsidiary Repco Nex and the Philippines’ Aboitiz Power Corporation (AboitizPower) is part of the Arkanghel Project agreement, which allows the two companies to work jointly on developing a digital twin model for power plants. This model will enable energy producers to simulate internal plant processes. 

The technology enables accurate prediction of actual performance while accounting for environmental factors, guiding optimal operational strategies for various scenarios, and detecting anomalies early on. 

The initial development will take place in AboitizPower's circulating fluidised bed (CFB) coal-fired power plants, specifically the 340-megawatt Therma Visayas Power Plant in Toledo City, Cebu, and the 300MW Therma South Power Plant in Davao City. These facilities will be used as prototypes for future installations in thermal power plants.

"This initiative aligns with the mega-trend of increasing energy demand in ASEAN, helping to reduce greenhouse gas emissions and mitigate the impacts of climate change," the statement said. 

In addition to CFB technology, which recirculates combustion to increase electricity production efficiency, digital twin technology would allow operators to make precise decisions based on data and artificial intelligence (AI), the companies said. 

Thai company to help develop first smart power plant in Philippines

This would help to support and improve asset performance management throughout its life cycle through predictive maintenance processes. These proactive measures would reduce planned and unplanned power plant outages, they said.

Sandro Aboitiz, chief financial officer of AboitizPower, highlighted that the company's power plants were its aces in the hole as the country grapples with the need to improve electricity reliability and availability. 

"Recognising the need to maintain our competitive edge in this dynamic landscape, we realise that seamlessly integrating cutting-edge data science with our existing critical assets is key to adding an indelible value to our energy transition journey," he said. 

Noting that Southeast Asia is one of the fastest-growing economies, with correspondingly increasing energy demand, Aldo Ramos, AboitizPower's chief operating officer, said the region faced the challenge of improving socioeconomic conditions while meeting energy transition targets and mitigating the effects of climate change.

He cited a report that found the average global energy demand increased by 16% between 2015 and 2021, while ASEAN's increased by 22%.

“It is through all these factors that Project Arkanghel came to be. It embodies our dedication to providing reliable and resilient power to meet present energy needs, optimising our current coal-fired power plants to allow them to bridge the gap as renewable energy technologies are still maturing,” he said.

SCGC chief operations officer Mongkol Hengrojanasophon pointed out that since the energy sector is a key driving force behind the mega-trends of AI and ESG, it is Repco Nex's duty to develop digital solutions for industries as well as operational excellence in order to run the project efficiently. 

Thai company to help develop first smart power plant in Philippines

Citing its expertise and experiences in exploring the right digital solutions for industries, he said Repco Nex is ready to be a part of this significant transition alongside AboitizPower, the leading power provider in the Philippines.

Repco Nex managing director Chakorn Kraivichien added that the company would integrate big data into the analysis process and create models to provide alerts and recommendations for power plant operations. These models can be practically implemented, enabling stakeholders to make precise decisions.

He explained that Repco Nex would help enhance the digital knowledge of AboitizPower staff by combining operational technology with information technology. This integration will significantly improve business efficiency and speed. In addition to increasing power production, it would also help save energy and reduce greenhouse gas emissions, he said. 

"This collaboration between AboitizPower and Repco Nex would undoubtedly ensure the successful development of the first smart power plant in the Philippines according to the planned schedule," he said.

AboitizPower, one of the Philippines' largest power producers, intends to invest continuously in renewable energy assets to achieve a total generation capacity of 4,600MW by 2030. The plan is in line with the country's goal of increasing the share of electricity generated by renewable energy to 35%.

Thai company to help develop first smart power plant in Philippines

Currently, the company has over 1,000MW of generation capacity from previously announced projects that generate electricity from various energy sources in the country. The company is still looking for new opportunities to grow its solar, hydro, geothermal, wind, and energy storage businesses. 

Meanwhile, AboitizPower and its partners account for the largest share of renewable energy in the Philippines in terms of installed capacity.

Repco Nex, a subsidiary of SCG Chemicals (SCGC), offers innovative, comprehensive solutions for industrial plants to improve machinery performance management.

With over 40 years of experience in the petrochemical industry, the company specialises in developing products, services, and solutions to improve the efficiency and sustainability of industrial plants in various sectors, including petrochemicals, power and renewable energy, utilities, food and beverages, consumer goods, and general manufacturing.