ACEN-CleanTeach Partnership Deepened for 133MW Solar Farm in Cagayan

A signed agreement has deepened the partnership between Ayala’s ACEN — along with its subsidiary ACE Endevor Inc. — and CleanTech Renewable Energy 4 Corporation (CleanTech) for the 133-megawatt solar farm to be established in Lal-lo, Cagayan. Around 75,000 homes are expected to benefit from the solar project, which is targeted for commercial streams early next year.

“The companies recently signed a shareholders’ agreement for the strategic partnership, with ACEN and Endevor to have a combined 60-percent ownership stake in NAREDCO, and CleanTech owning the remaining 40-percent,” noted ACEN’s disclosure to the Philippine Stock Exchange (PSE).

The joint venture between the two firms was earlier announced in October 2021, at which point, only a 200MW solar farm development was projected for initial installation with provision for capacity expansion. Natures Renewable Energy Development Corporation (NAREDCO), also a joint venture of ACEN and CleanTech, will implement the solar facility.

“NAREDCO will proceed with the construction of the solar farm and transmission line, which has a potential expansion of up to 200 MW,” added ACEN. Aside from providing energy, the project is also expected to generate around 1,000 jobs for the host community during the construction phase, according to the Ayala-led firm.

It furthered that the solar facility “will be constructed on a 115-hectare flat land known for its high solar irradiance in Barangays Magapit and Sta. Maria, which will connect to the 69-kilovolt NGCP (National Grid Corporation of the Philippines) Lal-lo (Magapit) substation via a 3-kilometer transmission line.”

ACEN chief development officer Jose Maria Zabaleta noted that their partnership with CleanTech is likewise geared to “help accelerate our country’s shift to a low carbon economy and add more renewables capacity to our existing 3,300 MW.” 188 gigawatt-hours of renewable energy annually is expected to be produced by the project upon its completion. Subsequently, this will account for carbon dioxide (CO2) emissions displacement of 112,405 metric tonnes (MT) on a yearly basis.

Cleantech president and CEO Salvador Castro Jr., on the other hand, expressed that the cooperation with ACEN is “a milestone for CleanTech,” particularly as they “bring [a] host of opportunities to further our sustainable goals, spur the economy’s growth, and ensure the progress of the community.”

“There is much work to be done, but step by step and together with our partners, we will lead the way towards a sustainable future,” affirmed Castro. The Department of Energy (DOE) awarded the renewable energy service contract for the NAREDCO solar farm to CleanTech, after which ACEN entered the picture.

Source: Manila Bulletin