Sugbo News - MOU FOR WASTE-TO-ENERGY PROJECT SIGNED

The Cebu Provincial Government formalized its agreement with SUEZ (Singapore) Services PTE. LTD. through the signing of a memorandum of understanding for the development and implementation of a waste-to-energy (WTE) facility in the province.

MOU FOR WASTE-TO-ENERGY PROJECT SIGNED

Nov. 20, 2024

The Capitol, under Gov. Gwen Garcia, has been actively looking for potential private partners for the implementation of the WTE project which is seen to address two key issues: take care of the growing production of solid waste all over the province while at the same time address the increasing demand for power in Cebu.

“We cannot delay a moment longer because the Cebuanos have been waiting and have been suffering for too long. We have to be able to get things done” Gov. Gwen.

SUEZ is a France-based global utility company with expertise in water and waste management. It is operating in over 70 countries across the globe, with its facilities recognized for sustainable and eco-friendly projects.

Kohei Kimura, the Development Director of SUEZ Group, signed the agreement with Gov. Gwen in a ceremony at the Capitol on Nov. 20.

The MOU signing proceeded after an initial evaluation by the provincial Economic Enterprise Council (EEC), chaired by Gov. Gwen, that SUEZ “has legal, technical and financial qualifications to potentially implement the WTE project”, which will be developed in a Capitol property located in Tinaan, City of Naga.

Under the MOU, the SUEZ Group will submit to the province any other complementary documents relative to the proposal of the said project.

“SUEZ may be replaced at any time by (i) an affiliate thereof or (ii) a joint venture company provided that the following conditions are met: a) prior notification of the Province; b) financially and technically capable to undertake the said project; c) and approval of the Economic Enterprise Council, comprising SUEZ or an affiliate thereof, providing that it notifies the Province” read part of the MOU.

During the signing, Gov. Gwen said the MOU signing is a step in the right direction of choosing the best partner to implement the project, which would be another first in the country once it will materialize.

To proceed with the implementation of the said project, Gov. Gwen proposed to have a two-day discussion between the Capitol through EEC and SUEZ Group to run through every detail of the partnership to come up with a “workable, logical, implementable” memorandum of agreement (MOA).

The Governor plans to sign the MOA on December 16, the same day the Provincial Government is set to light up the whole Capitol building for Christmas.

In September this year, the SUEZ Group submitted to the EEC its unsolicited preliminary proposal to partner with the Province in building and operating the WTE facility, through a Build-Operate-and-Transfer (BOT) scheme.

October 10, the company was awarded the “original proponent status” for the said project which gave them the right to match any lower-priced offers from other investors through a Swiss Challenge.

As no one challenged the proposal, the Capitol proceeded with partnering with SUEZ Group.

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