ACEN Corp. sees the need to invest in its own transmission system to maximize the potential of its various renewable energy projects.
Jonathan Back, ACEN group chief strategy officer, recently said having a transmission of its own will enable the effective utilization of its large-scale development to meet market demand.
“It’s tricky for us to rely, frankly speaking, on the grid to kind of catch up. We need to put in our own investments,” Back said at the recent Philippine Stock Exchange Strengthening Access and Reach symposium where invited companies talk about their business to attending investors.
“If we’re going to pursue the energy transition properly, we need to build very large-scale renewable projects, whether that be solar or wind. Now it’s great to do small scale projects, but if we’re really going to move the needle, we need these large projects, and our focus as a large company is on these very big projects where we can build in phases. And that’s why it’s worth it for us to invest in transmission lines, but those projects need to be big to justify that investment,” he added.
Back said the investment in transmission is tied to the government’s decision to include the development of an integrated renewable energy and energy storage system (IRESS) in the fourth round of Green Energy Auction by the fourth quarter of the year.
A comprehensive energy solution combining RE technology and energy storage technologies like batteries, flywheel or pumped storage hydropower systems, IRESS’ integration “allows renewable energy plants to optimize their operations by storing excess energy generated during peak production periods and utilizing it when needed, thereby reducing the required capacity from the grid,” the Department of Energy (DOE) said in July.
According to the DOE, IRESS enhances the stability and reliability of the energy system, enabling a more efficient power supply.
Back said ACEN intends to export the concept in other countries where it also has large scale RE projects.
“It’s an idea that we are going to bring to Australia and Vietnam,” Back said.
ACEN is currently ramping up projects as it aims to have a total of 20 gigawatts (GW) of generating capacity by 2030, compared to the current 4.8 GW in end-June. The company is expecting the operation of another 1 GW in the next six to 12 months.
Apart from its projects locally, ACEN is also developing RE projects in Australia, Vietnam, Laos, Indonesia, India and USA.
ACEN closed the first half of the year with profits of P6.29 billion, over revenues of P19.3 billion. Core earnings before interest, taxes, depreciation and amortization stood at P10.6 billion. ACEN sold a total of 2.91 gigawatt hour for the period.
