2016 ANNUAL REPORT
Geothermal energy is power generated from the heat of the earth through pressurized water, whose steam powers electricity-generating turbines. The water that is separated from the steam through the process is injected back into the earth to be re-heated, allowing for a long-term source of renewable energy.
Geothermal energy is one of the most efficient and reliable sources of renewable energy, which is available 24/7, year-round.

Subsidiaries

Energy Development Corporation (EDC) is the largest geothermal company in the Philippines and operates 12 geothermal power plants in the Bicol Region, North Cotabato, Negros Oriental, and West Leyte. The various geothermal plants have a combined capacity of up to 1,169 megawatts (MW), which accounts for 61.0 percent of the total installed geothermal capacity in the Philippines. EDC is also the largest renewable energy (RE) company in the country, with interests spanning geothermal, wind, solar, and hydro. As of December 31, 2016, First Gen has a 50.6 percent stake in EDC.
Bacon-Manito (BacMan) Geothermal Project

  • 120-MW BacMan I
  • 20-MW BacMan II
Leyte Geothermal Project

  • 112.5-MW Tongonan
  • 125-MW Upper Mahiao
  • 180-MW Mahanagdong
  • 232.5-MW Malitbog
  • 50.9-MW Leyte Optimization
Southern Negros Geothermal Project

  • 112.5-MW Palinpinon I
  • 60-MW Palinpinon II
  • 49.4-MW Nasulo
Mindanao Geothermal Project

  • 52-MW Mindanao I
  • 54-MW Mindanao II

KEY FINANCIAL FIGURES (Audited) (in PHP Millions)

  • Revenues decreased by 3.1 percent or by PHP945.3 million mainly due to lower contributions from BacMan and Nasulo, as the drop in average tariffs offset slightly higher energy sales volume and the higher contributions from Tongonan, Palinpinon, Mindanao I and II, and Unified Leyte due to their higher average tariffs.
  • Operating income increased by 3.0 percent or by PHP353.5 million due to lower purchased services and utilities for BacMan and Unified Leyte brought by the rationalization of drilling activities and early phases of typhoon rehabilitation expenses, and supplemented by a decrease in miscellaneous general and administrative (G&A) expenses due to lower materials and supplies purchases and business-related travel expenses.
  • Net income increased by 5.1 percent or by PHP409.7 million mainly due to cost savings and higher extraordinary income arising from the collection of proceeds from BacMan’s insurance claims for its steam turbine rotor incident.