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Case Study Shelo
Case Study Shelo
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I. INTRODUCTION
REFERENCES
I. INTRODUCTION
The 150MW Burgos wind farm in Ilocos Norte is the biggest wind farm in the
Philippines and the first wind project nominated for the Philippine Government’s feed-in-
The onshore wind farm was commissioned in November 2014 and is owned and
operated by the EDC Burgos Wind Power Corporation (EBWPC), an affiliate of Energy
Development included the 87MW first phase and the 63MW second phase. The
ground-breaking ceremony was held in April 2013 and the construction works began in
which will be used to power more than two million households, while offsetting
"The first phase included the installation of 29 wind turbines and the construction of
The Burgos wind project is located approximately 500km north of Manila, in more
than 686ha, covering Saoit, Nagsurot and Poblacion barangays within the Municipality of
The Philippine Department of Energy (DOE) nominated the project to the country’s
Energy Regulatory Commission (ERC) as an eligible project under the FIT programme,
which allows a renewable energy development company to receive guaranteed payments
Burgos consists of 50 Vestas V90 wind turbines with a rated capacity of 3MW each.
The first phase included the installation of 29 wind turbines and the construction of a
wind farm substation, access roads and a 42km overhead transmission line. The
Each wind turbine rests on a tubular steel tower, has a 75m hub height and 90m rotor
diameter and offers a swept area of 6,326m². The wind turbine generators are expected to
Approximately 630m³ of concrete was used for the construction of foundations for
Power from the substation is sent via a 115kV single-circuit overhead transmission
line to the National Grid Corporation of the Philippines (NGCP) Substation in Laoag
The 43km-long transmission line to the Laoag substation passes through the Burgos,
Pasuquin, Bacarra and Laoag municipalities, and consists of 147 structures, including 127
"The onshore wind farm was commissioned in November 2014 and is owned and
The cost of the Burgos wind farm was estimated at $450m. EDC secured $315m
debt financing from a group of foreign and local banks in October 2014. This debt
financing facility consists of US dollar and Philippine peso tranches, which will expire in
15 years.
Danish export credit agency, Eksport Kredit Fonden (EKF), provided a guarantee for
a portion of the US dollar loan component and the Australia and New Zealand Banking
Group (ANZ), DZ Bank, the ING Bank, Malayan Banking Berhad (Maybank), and
The local tranche for the loan facility was arranged by PNB Capital and Investment
Corporation and SB Capital Investment Corporation, along with a group of local lenders
including BDO Unibank, Land Bank of the Philippines, Philippine National Bank and
turbines for the project. The company also provided associated on-site civil and electrical
works for the project, and will operate and maintain the wind farm under a ten-year
phase.
The company was also contracted by the EDC for the detailed engineering, design,
Commission can "(guarantee) fixed rate per kilowatt-hour – the FIT rates – for power
producers harnessing renewable energy under the FIT system."In February 2015, the
ERC agreed to give a FIT rate of P8.53 per kilowatt hour for 20 years to the Burgos Wind
THE Philippines’s bid to wean itself off fossil fuels and tap its massive potential for
renewable energy (RE) got a big boost after the Lopez-led Energy Development Corp.
(EDC) announced the completion of the largest wind farm in Southeast Asia.
EDC Burgos Wind Power Corp., an affiliate of EDC, informed the Department of Energy
(DOE) that its 150-megawatt (MW) Burgos Wind Project in Burgos Ilocos Norte had
“We are happy to have met our target commissioning date, even a bit earlier than
expected. This is a major achievement for us,” said Richard B. Tantoco, EDC president
and chief operating officer. “Renewable energy has a long way to go before it can meet
Under the DOE’s Guidelines for the Selection Process of Renewable Energy Projects
Under Feed-In Tariff System and the Award of Certificate for Feed-In-Tariff Eligibility,
successful commissioning means that the RE project “is now physically connected to the
The Burgos Wind Project will be providing 370 gigawatt-hours of electricity to power
three barangays in Burgos, Ilocos Norte, namely, Saoit, Poblacion and Nagsurot.
Renewable Energy Act to invest in emerging renewable resources, EDC has invested
$450 million in the project and recently closed a $315-million financing deal with the
support of EKF, Denmark’s export credit agency, and a group of leading international
and local banks. The Burgos Wind Project is now the largest wind-power project in
Southeast Asia.
The Burgos Wind Project is also poised to be the first to avail of the feed-in-tariff (FIT),
which the DOE will grant 200 MW of wind-projects on a “first to commission, first
served” basis.
Under the FIT system pursuant to the Renewable Energy Act of 2008, the Energy
Regulatory Commission (ERC) will allow payments on a fixed rate per kilowatt-hour—
The successful commissioning, set to be verified by the DOE, followed the DOE’s
nomination of the project to the ERC as an eligible project under the FIT system, Phase 1
(87 MW) and Phase 2 (63 MW) of the project, all having achieved the requisite 80
percent electro mechanical completion on September 25, 2014 and on October 10, 2014.
To date, the Burgos Wind Project is the only project that has been nominated by the DOE
to the ERC.
The Burgos Wind Project features 50 units of model V90 wind turbines of Vestas, the
certificates for each of the 50 turbines, which were furnished to the DOE as vital
Groundbreaking for the Burgos Wind Project took place in April 2013, while the
construction for the initial 87-MW capacity of the wind farm started in June 2013.
EDC has several geothermal- power projects but the company is now venturing into solar
and wind energy. The DOE has awarded the company contracts for one solar-power
The Philippines has set a target to significantly increase its RE capacity by 2030. The
Digital map
and surface roughness. At the wind farm the terrain was digitized with contour
levels for each 5m and further away the contour-level step was raised to 20m. The
digitized area and the inner area of fine resolution extend respectively 3700m and
200m from the turbine sites. This is less detailed than desirable, and we
recommend that the area of fine resolution is extended to 500m from any turbine
site and that spot heights are included. This amendment is not expected to change
the annual energy production (AEP) estimates dramatically, but it is good practise
and not much extra work. Evaluation of a surface roughness map in a desk review
has its limitations. However, the roughness lengths in the map seem in accordance
with the photographs showing bushes of a few meters height. There is little detail
in the roughness map south and east of the wind farm but the prevailing onshore
wind allows such simplification. The reference measurements are made at a lower
enhanced wind shear would tend to overestimate the energy production. WASP
(RIX), where a rule of thumbs is that WASP tends to overestimate the wind by
1.5% when the turbine site RIX number is 1% larger than at the reference site.
With the proposed wind-farm layout, RIX number differences range from -0.3%
estimates significantly.
Wind measurements
The data used in the PNOC-EDC Burgos phase one feasibility update study [5]
was measured by a NRG 9210 logger. The mast was locally fabricated and
equipped with three NRG anemometers and two NRG wind vanes. These
measurement seem better than the ones used in an earlier site assessment (Garrad
Hassan, 2001 [6]) since • The new anemometers had individual calibration
certificates • The mast position had been moved within the area of the proposed
wind farm • The height of the top anemometer had increased from 30m to 50m
above ground level The measurement height is still lower than the planned turbine
hub height, and vertical extrapolation makes the AEP estimates a little less
certain. Another limitation is that data are only available for full year. Risø
Excel file [7], where data points with simultaneous zero wind speed and direction
had been marked as suspicious. We agree that these data points should be
excluded from the analysis and note that the correction only reduces the data
recovery rate from 100% to 99.6%, which is still nearly perfect. Unfortunately,
even when the Risø-I-2521(EN) 23 marked data points removed, we are unable to
find the same wind distribution as in the PNOC-EDC feasibility update report
suggesting that we are not using exactly the same data. The discrepancies are
however modest 0.2% for both average wind speed and wind power density.
Turbine data
The power curve authorized by the manufacture is valid for a turbine height of
67m and an air density of 1.16 kg/m³. We can verify that this air density is in
accordance with the elevation and the measured annual mean temperature.
feasible report, we also calculate AEP for the subset of fifteen turbines sites with
the highest production. In either case the installed turbine type is the Vestas V80
2MW turbine with 67m hub height. The results are shown in Table 4 to Table 7,
feasibility study report. The results in Table 5 differ about 0.2% from the values
for the 30MW optimized wind farm in table 7 of the PNOC-EDC feasibility
study, which is consistent with the slightly different wind climates analysed by
Risø and PNOC-EDC. The net AEP of the layout consisting of the easternmost
turbines is about 2% lower than that of the optimized one. This is both because of
a slightly lower wind resource and larger wake losses in a denser turbine array.
also referred to as the EBWPC, is the proponent of the 150 MW Burgos Wind Project in
Ilocos Norte. The Burgos Wind Project was commissioned on 05 November 2014
following its nomination for feed-in-tariff (FIT) eligibility. It was endorsed by the DOE
to qualify for FIT on 11 November 2014. The Energy Regulatory Commission (ERC)
issued the provisional ‘authority to operate’ to the Burgos Wind Project on 18 December
2014. The wind farm facility in Burgos, Ilocos Norte is currently transmitting electricity
through the Burgos Transmission Line Project. This is a 42-km 115 kV transmission line
currently owned and being operated by the EBWPC. The Burgos Transmission Line
Project connects the Burgos Wind Project substation located in Burgos, Ilocos Norte to
the existing substation owned and operated by the National Grid Corporation (NGCP) in
Laoag City, Ilocos Norte. The transmission line traverses 29 barangays in the
Municipalities of Burgos, Pasuquin and Bacarra, and the City of Laoag, in the Province
of Ilocos Norte in Region 1. The Burgos Wind Project was subjected to an environmental
and social impact assessment (ESIA) in 2014; and the ESIA report was submitted to
the Burgos Transmission Line Project supporting the operation of the Burgos Wind
addition to the Burgos Transmission Line Project, the construction of the Burgos Wind
Project was completed with the use of a Jetty for delivery of equipment and wind turbine
parts. The Jetty is located in the Municipality of Burgos, Ilocos Norte, approximately 6
km from the wind farm. The Jetty and Transmission Line Projects will support operation
and maintenance activities of the Burgos Wind Project for its entire project life cycle.
The following are overall comments that have been extracted from the review
The downsizing of the wind farm from 40MW to a minimum of 30MW appears to
have been covered in the documents, although the minimum rating of 600kW for
The transmission connection (and associated works) from the wind farm to the
Laoag substation has been removed from the JBIC ODA funded contract and is to
transmission line is too close to the finishing of the wind farm. PNOC-EDC do,
It looks as if the existing System Impact Studies by Transco (2001) used a double
have taken due consideration of the impact of reducing this to a single circuit
115kV. The contract requires the contractor to obtain an updated System Impact
The specification for the wind turbines is somewhat unclear and, in the
used in many places but this is not a recognised certificate under the IEC WT01
standard. No specific class is required and the turbine does not have to have full
IEC WT01 and, at a minimum, the modifications required to make it suitable for
the site conditions should have an IEC WT01 Design Evaluation certificate.
The requirements for the wind turbines are rather spread throughout the
occurrence. The Contractor cannot say he was not made aware of these.
By signing the contract, the Contractor is bound to operate and maintain the wind
farm for two years following completion. The price is fixed for the O&M at 288
000 USD per year. This ensures a simpler evaluation procedure, although it is
somewhat unusual. The O&M contract documents have not been reviewed here.
The Defects Liability period is two years. This appears to be at the lower end of
defect liability periods being currently contracted and the trend is more towards
five years.
There appears to be no Liquidated Damages if the wind farm fails to meet the
are also no penalties to be paid to the grid operator if reactive power consumption
is too high. • As PNOC-EDC are constructing the 115kV line themselves, the
Contractor should be specifically asked to state when they need the grid
connection (the earliest will probably be for testing, etc.). This should be a
been made of how much of the testing and commissioning can be done on a
The in-depth requirements for the SCADA system may well mean that they
the hope that it will be accepted. This may mean two bids are not comparable.
Usually, there is a statement in contracts of this nature about who receives the
It should be noted that the contract documents contain quite a lot of work that is
to be done by PNOC-EDC. Not only is there the 115kV transmission line but also
some works at the Laoag sub-station and the main access road(s) to the wind farm
are the responsibility of PNOC-EDC. They have also taken on all responsibility
for negotiations with landowners and forbid the Contractor to enter into any
discussions.
The documents also place quite a heavy load on PNOC-EDC’s site “supervision”
times and at various levels of details. This concerns design, QA, construction and
attend site testing. This is a very good thing (providing the resources are
available) because it is an excellent way to get to know the wind farm and how it
is put together, but there is much mention of “approvals”. Whilst there is the
they would draw heavily on this when administering this wind farm contract.
From this review, the rules for interim payments as the project progresses are a
little confusing. Detailed comments are in section 2.3, but initially it seems if the
“Disbursement Schedule”). Then, it seems that the contractor will get payments
completion of services. Then at the end of the Special Conditions, there is a table
match up with the Disbursement Schedule and the 75% and 90% payments are
It is not clear if Liquidated Damages are able to be applied at stages during the
project if there is a delay or if they can only be applied if the Time for Completion
is exceeded.
becomes insolvent.
ILLUSTRATIONS
II. SAFETY PROGRAMS
STATEMENT OF AUTHORITY
known as the “Renewable Energy Safety, Health and Environment Rules and Regulations
(RESHERR)”, and in order to ensure adequate safety and protection of health, life and
property and the environment against the hazards of Wind Energy System Operations, the
following wind safety, health and environment Code of Practice is hereby promulgated:
GENERAL PROVISIONS
1. Providing a safe workplace while protecting the health of the Employees and the
e. Establish an emergency plan to address any incident that may pose serious
and imminent danger to the company’s personnel, the environment and the
community.
Terms and expressions that are generally defined in other existing regulations or in the
Occupational Safety and Health Standards (OSHS) shall have the same meaning in this
Code. For purposes of this issuance, however, the following terms shall be defined as
follows:
Department of Energy.
4. Confined Space – refers to any area that has hazardous atmosphere, with
restricted means for entry and exit and/or not designated for continuous
employee occupancy;
5. CSEP – refers to Confined Space Entry Procedures;
6. Employee- refers to any person who works for wage or salary in the service of an
Employer;
either permanent or temporary, used at a project site which has equipment (e.g.
data loggers, anemometers, wind vanes, temperature and pressure sensors, etc)
meteorological data;
11. Program – refers to a plan under which action may be taken toward a goal;
12. R.A. 6969 – refers to Toxic substances and Hazardous and Nuclear Waste
15. SDS- refers to Safety Data Sheet, which is intended to provide workers and
(melting point, boiling point, flash point, etc.), toxicity, health effects, first
procedures;
17. System – refers to an organized scheme of how things are done; includes
19. Wind Energy Operations – shall include Wind Energy exploration, development,
and the transmission of such electrical power and/or other non-electrical uses;
and
20. Wind Energy Systems – refers to the energy systems that convert wind energy
A. Power Plant
a. All plant personnel shall be qualified and trained in their respective job assignments;
b. All plant personnel shall undergo occupational safety and health orientation and
training;
c. All plant personnel shall immediately report any observed unsafe condition, incident
and accident in accordance with the established company safety reporting procedures and
guidelines;
d. All plant personnel shall be required to wear appropriate and prescribed PPE’s;
e. Only qualified and Authorized Personnel shall conduct repairs and calibration
ii. Emergency
buttons and switches. Bystanders are not allowed inside the control room unless
authorized;
2. Keep air conditioning unit running 24 hours a day to maintain the control room
all times;
5. LOTOTO procedure and proper clearance from the authority shall be strictly
complied with;
of egress; and
3. Always close the door of UPS and battery bank room to reduce outside air
6. The exhaust ventilation must be placed in the proper portion of wall ceiling to
to the system;
regularly; and
10. Proper handling/storage/disposal of unserviceable batteries should be
1. Never attempt to execute troubleshooting and repair of any line conductors and
2. Always wear safety rubber shoes when performing troubleshooting and repair
3. Place warning tags (indicating reasons for isolation) on any circuit cutout/
4. Insulate all dangling and bare terminals of power conductors right after
disconnection;
particular line running and encased with other lines in metallic cable tray;
6. Ensure all electrical tools/equipment used are properly insulated and must be
All Wind Energy System activities shall comply with the following requirements:
2. Orientation/Training;
3. Work Permits;
4. Close Supervision;
5. Monitoring Tools/Instruments;
6. Communication Tools/Equipments;
a. Only authorized personnel shall supervise and conduct on-site wind resource
assessment;
b. All devices, tools, and equipment shall be used, handled, installed, maintained,
calibrated and stored only by qualified employees and in accordance to its corresponding
installation manual;
c. Meteorological stations and its equipment shall be constructed and maintained to be
e. All meteorological stations shall follow proper grounding and lightning protection in
a. In dealing with various kinds of terrain, the lead guide shall confirm the accessibility of
the area;
b. For passable terrains check for falling debris, sharp objects and maintain a distance of
c. For passable terrains with the aid of rope. Setup the rope on sturdy trunk and pass one
d. For impassable, such as loose ground and/or nothing to hold to, look for alternative
route; and
e. The team shall avoid location of traps. If quick sands and aggressive animals are
The team shall consider the various types of river when rerouting through it:
a. For calm and mid to shallow river, the lead guide shall assess the slippery areas and
sudden changes in river depth, aided by a stick. Then, the team shall thereafter pass one
b. For raging mid to shallow river, the lead guide shall check for rock boulders as path. If
available, check for slippery areas and proceed with caution. If none, the guides shall tie
the rope, in a position oblique to the flow. The team shall pass one at a time, holding
c. For deep but calm and/or raging rivers, the team shall re-strategize.
4. Camp Safety
i. Camp location shall be near a water source (~100m) but not too close;
ii. The camp area shall be clear from sharp rocks, glass shards and poison ivy;
iii. The camp area shall be slightly sloping to ensure water drainage; and
iv. The camp area shall have a protection from strong winds.
b. In order for the camp location to be considered as safe from wild animals, the
i. The camp shall not be set up too close to the water source;
ii. Cooking should be done far from the tents (~100m away) to avoid imparting aroma
that the location of one buddy is always be known by the other are in place;
ii. Camp fires are discouraged. However, if such is absolutely needed, the team must
ensure that camp fires are properly put out before the campers go to sleep; and
iii. All campers must apply insect repellant before going to sleep.
a. Only authorized personnel shall supervise and conduct operation and maintenance of
b. All maintenance works shall be covered with appropriate Work Permit and shall
c. Required PPE shall be used while doing maintenance works in accordance with
d. Proper warning and instructional signs shall be visibly posted at all times when work is
being performed, and shall be removed or recovered promptly after work is completed;
e. Area where maintenance works are being undertaken shall be properly barricaded
delineated and provided with proper safety and warning signs; and
approved O&M Manual, which complies with local and international best practices in
The evaluation of the Annual Energy Production of the site by PNOC-EDC seems
to follow accepted practice and where shortcomings have been found by the
review, it is considered that their correction would not change the outcome
significantly. For example, only data from one year has been used but the review
has found that it is probably unnecessary to correct the data for long term
The review carried out its own energy assessment using the Vestas V80 2MW
turbine and found the results to be very close to those provided by PNOC-EDC.
Two wind turbine layouts were assessed and it was seen that, apart from some
minor adjustments, the layout is more or less optimal. The precise layout and
https://businessmirror.com.ph/2014/11/08/largest-wind-farm-in-southeast-asia-
starts-operating/
https://www.astae.net/sites/astae/files/publication/Burgos0Wind0Fa10Desk0Revi
ew01Final1%5B1%5D.pdf
https://www.power-technology.com/projects/burgos-wind-project-ilocos-norte/
https://www.wsp.com/en-PH/projects/philippines-burgos-wind-farm