MANILA, Philippines - Upstart firm SunAsia Energy Inc. said it will invest as much as P400 million for four solar power generation projects in several islands in the country.
This will allow off-grid or far-flung areas to secure adequate and cheaper electricity supply compared with diesel-fired power plants, company officials said.
“We are targeting Aklan, Mindoro Oriental, Puerto Princesa and El Nido,” SunAsia chairman Noel Cariño told reporters.
He said solar power projects will range from 2.5 to five megawatts (MW) each, reaching 20 to 22 MW for the four projects.
“Our vision is really to help the off-grid areas because they need it,” said SunAsia president and Philippine Solar Power Alliance founder Tetchi Capellan.
Capellan said prices of electricity from diesel-fired power plants are expected to grow more expensive as tension in the Middle East escalates.
For funding, Cariño said the company will need as much as P400 million for the four projects, will be sourced through a partnership with a US-based firm.
SunAsia promotes the use of solar technology to increase generating capacity in the countryside, which are often ignored in favor of the main grid that hosts the large consumers.
The renewable energy firm has partnered with foreign solar power technology providers like mp-tec for mounting structures, SMA for inverters, Canadian Solar and Hanwha Solar One for the modules, and Ibvogt for utility-scale off-grid applications.
“The market for solar energy is coming right now because you do not have enough electricity supply,” said Michael Preissel, founder of Berlin-based mp-tec.
Cariño said SunAsia hopes to get the projects onstream next year as solar panels can be installed quickly.
“It is more on the financing requirements but the technology itself is easy to install,” he said.
Capellan said SunAsia will be signing bilateral power supply deals with power distributors in far-flung areas.
Moving forward, SunAsia can tap other islands in the country that lacks electricity supply.
SunAsia can provide solar power to numerous islands in the archipelago that are isolated from the main grid, Cariño said.
The company is also looking to sell and install solar rooftops in local firms.
The Department of Energy (DOE) has so far awarded 17 service contracts for solar energy that can produce 271 MW.
To date, the Philippines sources 35 percent its total power requirements from renewable energy sources. However, only 0.01 percent of its energy supply was provided by solar and wind projects, data from the DOE showed.
In June, the Asian Development Bank inaugurated its 571-kilowatt solar panel rooftop project in Ortigas Center. It is so far the largest roof-mounted installation in the Philippines.