ACEN extends over P9 billion financing to solar units

MANILA, Philippines — ACEN Corp. of the Zobel family has extended more than P9 billion in loan facilities to two wholly owned subsidiaries developing solar and battery storage projects in Zambales.

In separate regulatory filings yesterday, ACEN said it executed a short-term loan agreement of up to P3.24 billion with Giga Ace 8 Inc. and a loan facility of up to P6 billion with SanMar Solar Inc.

SanMar Solar will use the financing to support the construction of its 1,000-megawatt-hour (MWh) battery energy storage system (BESS) in the municipality of San Marcelino.

The BESS project will be integrated with the company’s existing solar plant, creating a combined renewable energy and storage facility.

The system will allow the solar farm to store excess electricity generated during periods of low demand and supply it to the grid during peak demand.

Giga Ace 8, meanwhile, will channel the loan proceeds into the development of its 300-MW-direct current Palauig 2 Solar in the municipality of Palauig.

The financing will also cover the construction of the transmission line and substation needed to connect the solar facility to the power grid.

In June, ACEN injected about P1.15-billion capital to Giga Ace 8 to bankroll the construction of Palauig 2 Solar.

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