PowerSource First Bulacan Solar Inc. (PFBSI), an affiliate of Meralco PowerGen Corp. (MGen), signed an engineering, procurement and construction contract with SUMEC Complete Equipment & Engineering Co. Ltd. for a solar power project in Bulacan.
The company said the agreement covers the construction of a 50-megawatt (MW) solar plant in San Miguel, Bulacan whose capacity will be sold to Manila Electric Co. under an approved power supply agreement.
PFBSI is jointly owned by MGEN Renewable Energy, Inc. (MGreen) with a 40 percent stake, PowerSource Global Holdings Corp. (36 percent) and Singapore’s Sunseap International Pte. Ltd. (24 percent).
MGreen is the renewable energy subsidiary of MGen.
“We are committed to undertake 1,000 MW of renewable energy projects in the next five to seven years. This start is one of the lego pieces that will make a thousand,” Rogelio Singson, MGen president and chief executive officer, said in a statement.
Singson added the facility with a project cost of P4.25 billion is the company’s first solar power investment.
MGreen plans to develop large-scale solar, wind and hydropower projects that will provide reliable, environment-friendly power at competitive prices without the need for subsidy.
Besides advancing renewable energy prospects, its parent company MGen is also focused on utilizing high efficiency, low emissions technology for baseload coal power plants.
Earlier this month, MGreen secured a P424-million equity funding that will be used to invest in various solar projects under development with a combined capacity of 210 MW and total project cost of P10 billion.