Solar Philippines, the country’s leading solar energy provider, has submitted energy contract offers that would potentially amount to 9 terrawatt-hours a year and enable a roster of 10 gigawatts of solar projects to proceed. The developments would begin operation mostly between 2025 to 2026.
This latest move is part of the company’s goal to massively expand the nation’s renewable energy capacity and help the country meet its rising demand for electricity.
In a statement, Solar Philippines said that as soon as these latest energy contract offers are approved by offtakers and regulators, it would be able to start construction on most of the 10 gigawatts of planned solar capacity in 2025 and 2026.
The projects includes what is described as possibly the world’s largest solar facility – a 3.5 gigawatt project being developed with billionaire Enrique Razon.
This major announcement follows another announcement by Solar Philippines Nueva Ecija Corporation’s (SPNEC), a listed subsidiary of Solar Philippines, of plans to raise at least PHP10 billion ($195 million) from a stock rights offering and private placements to support the development of 10 gigawatts of solar power.
SPNEC has also given the go-ahead for an asset-for-share swap plan, which entails acquiring all of Solar Philippines’ outstanding shares and stakes in over 20 solar projects in the Philippines.
“While we have been constrained from commenting on our projects due to ongoing contracting processes, we look forward to share more details in the coming days, and so give a better picture of what SPNEC will look like after the asset-for-share swap,” said Leandro Leviste, founder, Solar Philippines.
Solar Philippines’ planned facilities are expected to help address a potential power shortage and significantly boost the nation’s renewable energy generation, according to the company. According to government data, the Philippines had 1,127 megawatts of grid-connected solar capacity at the end of 2021.
Last year, countries across Southeast Asia stepped up efforts to add more renewable energy capacity and connect their power grids as the region looks to meet ambitious climate targets.
Members of the Association of Southeast Asian Nations (ASEAN) have proposed that 23% of primary energy come from renewable sources by 2025. To meet this target, ASEAN nations are accelerating the development of a regional power grid and exploring carbon capture storage (CCS) technology.