MANILA, Philippines — Solar Philippines Nueva Ecija Corp. snared a contract to supply power to consumers of Angeles Electric Corp., the third-largest distributor in Luzon.
In a disclosure to the Philippine Stock Exchange on Monday, SPNEC said the Renewable Power Supply Agreement with AEC marks the first step in supplying renewable energy to its home region of Central Luzon, which will give the Leviste-led firm a solid revenue base but allow it to sell its unsold energy to the spot market.
“The contracting of the first phase of our solar farm shows that renewable energy in the Philippines is a supply-constrained market. This reinforces our drive to expand SPNEC’s capacity, to meet the great demand for renewable energy in the Philippines,” Solar Philippines founder Leandro Leviste said.
SPNEC noted that the AEC contract, which was awarded to them by the Department of Energy after a competitive selection process against five bidders, will require them to supply 97.8 megawatt-hours per day from 6 a.m. to 6 p.m. for 10 years.
As it is, SPNEC said it is currently in the process of an asset-for-share swap with parent company Solar Philippines that will enable it to acquire 20 solar project companies. which include 10 gigawatts of projects in development. The renewable power firm said these would support the government target of sourcing 35% of the country's energy supply from renewable sources by 2030. This translates to 20 GW of solar energy.
Shares at SPNEC closed the start of weekly trading up 7.28% at P2.21 apiece.