AC Energy readies funds for solar, wind projects
By Lenie Lectura – December 18, 2020
from Business Mirror
The Board of Directors of AC Energy Philippines (ACEN) has approved financing for solar and wind power projects worth P10.81 billion.
The company told the Philippine Stock Exchange that approval for the two power projects was secured during a board meeting.
AC Energy will construct a 75-megawatt (MW) solar power facility in Arayat and Mexico, Pampanga, through a secured loan for 100 percent of the total project cost amounting to P3.33 billion.
The facility is expected to start its power generation in the fourth quarter of 2021, and is ACEN’s joint venture with Citicore Renewable Energy Corporation, with a 50-percent economic ownership.
The Board also approved financing for a wind farm project to be built in Pagudpud, Ilocos Norte for up to 70 percent of the total project cost amounting to up to P7.48 billion.
The company earlier said it will put up 500MW of renewable energy (RE) projects next year.
“We have 180 MW under construction of renewable energy and as I mentioned, in the next 12 months we expect to add to that, to start the construction of another 500-MW in the Philippines,” said AC Energy President Eric Francia. “The power plants should be ready by 2023 because we believe by 2023 or 2024 incremental demand will come back.”
In November, the energy platform of conglomerate Ayala Corp. said it expects to achieve half of its target RE capacity of 5,000MW by next year.
“The plan is to scale up our RE to 5,000MW or even more. We are feeling confident that we will exceed our RE target. Next year, we expect our RE to reach 2,500MW. So, we expect to be halfway through our 2025 target as early as 2021,” said Francia.
Of the 2,500MW target, Francia said 1,500MW of RE projects are lined up next year. “We have 1,500MW worth of projects in the region including Philippines (500MW), Australia (500MW) and the remaining 500MW in India and Vietnam.”
ACEN aspires to be the largest listed renewables platform in Southeast Asia, with the goal of reaching 5,000 MW of renewables capacity by 2025.
“Basically, we are very much prepared. We are prepared in our balance sheet and cash that’s why we’re active in the capital market because we really want to be prepared. We’re really very bullish about the energy transition. We’d like to play a leading role in energy transition, particularly towards shifting to RE technologies,” said Francia.
