ACEN injects over P1 billion fund into Zambales solar project

MANILA, Philippines — ACEN Corp. of the Zobel family has infused P1.15 billion in fresh capital into a subsidiary developing a large-scale solar project in Zambales.

In a regulatory filing yesterday, the company said it entered into a subscription agreement with unit Giga Ace 8 Inc., covering 3.4 million common shares and 30.98 million preferred “A” shares priced at P10 apiece.

The deal also includes ACEN’s subscription to Giga Ace 8’s 8.03 million redeemable preferred “C” shares with a par value of P100 each. The shares will be sourced from the subsidiary’s unissued capital stock.

Proceeds from the capital infusion will fund the construction of the 300.11-megawatt-peak (MWp) Palauig Solar 2 project.

As previously disclosed, the project was estimated to cost around P16 billion, including the construction of a 1,200-MW transmission line.

Once operational, Palauig Solar 2 is expected to generate more than 450 gigawatt-hours of clean power annually. Combined with the 90-GWh output of Palauig Solar 1, the two facilities could supply enough power for about 139,000 households.

Earlier, Giga Ace 8 sought clearance from the Department of Environment and Natural Resources for a proposed P26-billion solar expansion in Zambales.

Under the plan, the project’s solar capacity will be increased to 420 MWp. The expansion will also include a battery energy storage system (BESS) with a potential capacity of 1,325 MWh.

Since solar facilities cannot generate power at night, Giga Ace 8 noted that the BESS component is intended to bridge this gap.

A BESS facility stores excess electricity generated during low-demand periods and supplies it back to the grid during peak demand, ensuring the stability of the transmission network.

In the Philippines, the ACEN Group has nearly 1,500 megawatts of solar capacity either in operation or under construction, according to the latest company data.