First Gen Corporation has received a crucial permit from the Department of Energy (DOE) for its Batangas LNG project, paving the way for the operation and maintenance of its interim offshore liquefied natural gas (LNG) terminal. The permit, granted to First Gen subsidiary FGen LNG Corp., is a significant step for the energy giant as it advances its role in the country’s energy landscape.
The DOE’s permit to operate and maintain (POM) is valid for 25 years and authorizes First Gen to operate the terminal for its own use. This move solidifies First Gen’s commitment to expanding the use of LNG as a bridge fuel, which will be key to meeting the growing energy demand in the Philippines while supporting the shift to more renewable energy sources.
The Batangas LNG terminal is designed to include a multi-purpose jetty and an onshore gas receiving facility. This facility marks the first phase of the larger LNG terminal, which has already been recognized by the Energy Investment Coordination Council (EICC) as an energy project of national significance.
Francis Giles Puno, president of First Gen, emphasized that the new LNG facility will enhance the company’s ability to provide flexible and reliable power, particularly to support the integration of renewable energy technologies. “As we scale up our renewable energy generation, LNG will act as a crucial bridge fuel, ensuring that power remains stable and available as intermittent renewable sources come online,” Puno said.
The LNG terminal will supply natural gas to First Gen’s existing fleet of gas-fired power plants in Batangas, which collectively produce 2,017 megawatts (MW) of electricity. The company’s portfolio total 3,668.2 MW, combining natural gas, geothermal, hydroelectric, wind, and solar power. With an ambitious goal to increase total capacity to 13,000 MW by 2030, First Gen is set to invest up to $20 billion in the next five years to expand its renewable and flexible power generation capacity.
The development of the Batangas LNG terminal is a critical part of First Gen’s strategy to strengthen the country’s energy security while facilitating a cleaner, more sustainable energy mix.
