South Bukidnon announces $92 million sugar ethanol investment in the Philippines
In the Philippines, South Bukidnon Bioenergy will invest $92 million in sugarcane ethanol and a10-megawatt co-generation plant from bagasse. The plant will be based in Bukidnon.
The power plant will be given pioneer status, which provides six years of tax-free status because the plant will use a renewable energy source. The ethanol plant received a four-year tax exemption. The plant is scheduled to commence production in December 2010, and will produce 12 Mgy of ethanol.
This year, eight Philippine companies have pledged more than $350 million towards biofuels production investment.
The companies include: Bio-Energy NL, Inc.; E-Cane/Pampanga Industrial Park Corp.; Philippine Agricultural Land Development and Mill, Inc (PALM, Inc.); and Zambo Norte Bioenergy; Philippine National Oil Company-Alternative Fuels Corp., Guidance Management Corp., Fuel, Inc. and Eastern Petroleum.
The Philippines have a B1 and E5 mandate scheduled to go into effect in 2009, rising to B2 and E10 in 2011. Philippine demand for biofuels is expected to rise to 187 million galls of ethanol and 54 gallons of biodiesel by 2011.
