AboitizPower: No CAPEX burden to users

BANGKOK, Thailand — Filipino consumers are expected to benefit with the introduction of a pioneering Thai technology that Aboitiz Power Corp. will use to transform its coal power plants into intelligent facilities.

AboitizPower, Aboitiz Data Innovation (ADI), and REPCO Nex Industrial Solution signed an agreement here on Monday to introduce data-driven technology and optimize the efficiency and reliability of AboitizPower’s Therma South Inc. (TSI) in Davao City and Therma Visayas Inc. (TVI) in Toledo City, Cebu through Project Arkanghel.

In an interview, AboitizPower chief finance officer Sandro Aboitiz assured that the substantial investment for the industry-leading initiative will not be passed on to consumers and thus will not result in higher power rates.

“The consumer will benefit ultimately because it will result in hopefully more reliable plants, which will reduce the cost. We are taking the risk because we believe it is the right thing to do,” Aboitiz said.

“From a financial perspective, it makes sense because it will benefit the grid. We are taking the risk because we believe strongly in that cause. Why are we even doing that?” he added.

Aboitiz assured that the company would not apply with the Energy Regulatory Commission to recover the costs incurred by the project as separate funding has been raised for the capital expenditures (CAPEX).

AboitizPower’s investments to improve the reliability and efficiency of its power plants are timely, he said, as the country’s entire power system continues to face challenges.

On Tuesday, the Luzon and Visayas grids were placed anew under red and yellow alert due to the unavailability of power reserves caused by a prolonged power plant shutdown.

AboitizPower, REPCO Nex partnership’s smart power plant — a Philippine first — will harness the power of data science and AI to create a digital twin that will unlock the potential of APC’s existing Therma South and Therma Visayas power plants.

The project name “Arkanghel” takes after the Guardian of Precision, Harmony of Duality and Enlightened Intelligence.

Project Arkanghel will utilize a so-called digital twin technology that will be integrated into the existing Circulating Fluidized Bed coal-fired power plants.

In power plant operations, a digital twin serves as a virtual replica that mimics operational processes and systems.

The tool enables operators like AboitizPower to simulate diverse scenarios, conduct stress tests, and, most importantly, detect faults and glitches at an earlier stage — all within a simulated virtual environment.

The technology will utilize artificial intelligence to support operators and engineers in making more informed decisions.

By leveraging a digital-powered plant, data gathering and analysis can be streamlined, ultimately benefiting asset health monitoring, life cycle management, and predictive maintenance strategies. This can significantly reduce the duration and frequency of both planned and unplanned downtime.