By Alena Mae S. Flores

State-owned Philippine National Oil Co., through its renewables energy unit, will put up a hydropower plant in Luzon with a generating capacity of 20 to 30 megawatts, a ranking company official told reporters yesterday.

PNOC president Antonio Cailao said the plan was in line with the government?s thrust toward promoting renewable sources of energy, like hydro, wind, biomass, ocean and geothermal.

?With RE, it?s site specific. If there is geothermal, that?s where you will put your plant. Same with wind and hydro. The Renewable Energy Law, passed last Dec. 16, granted many incentives to developers. And RE is infinite and environment-friendly,? Cailao said.

He said PNOC had already started the groundwork for its renewable energy projects, especially hydro and solar power.

?Renewable energy will be out focus this year,? he said.

PNOC earlier signed an agreement with Soluziana S.A. of Spain to conduct feasibility studies on the 5.6-MW Babuyan and the 6.8-MW Langogan hydropower projects in Palawan. The Spanish government funded the study through a 235,000 euros grant from the Instituto de Credito Official.