The renewable energy-based capacity contracting of Manila Electric Company (Meralco) which now hovers at 1,800 megawatts had so far exceeded its initial target of 1,500 megawatts.

Its ramped up capacity of clean energy procurements, according to Meralco Vice President and Chief Sustainability Officer Raymond B. Ravelo, thrives as a key component of its long-term sustainability agenda.

Apart from direct investments of its subsidiary Meralco PowerGen on greenfield RE facilities, Meralco is similarly advancing on its bid to decarbonize its supply portfolio via the RE-anchored power supply agreements (PSAs) it has been underwriting with power producers as well as retail electricity suppliers.

“Meralco’s just, orderly, and affordable transition to clean energy is the central thrust of its long-term sustainability strategy, which begins with the company’s investment in renewable energy (RE) to serve the country’s growing energy demand with greener power,” the company said.

“Meralco has so far contracted 1,880 megawatts (MW) of RE capacity from various suppliers, already exceeding its initial target of 1,500 MW,” the utility firm has reiterated.

Under the government-sanctioned Renewable Portfolio Standards (RPS), distribution utilities like Meralco will need to source prescribed percentage of their supply from RE-generated capacities.

It is also worth noting that Meralco is the first power utility in the country to contract pure RE to meet its mid-merit requirements or that pie of supply that has flexibility to ramp up and down as demand in the grid fluctuates.

By the turn of the decade, Meralco is anticipating that the share of RE in its supply mix will already surpass 20%; while its retail market segment would be logging 18% as RE’s fraction in its supply sourcing in the next two years.

It emphasized that “through Meralco’s strategic sourcing initiatives, RE is expected to account for 22% of the distribution utility’s supply portfolio by 2030,” then the 18% target for its retail supply is seen concretized by 2025.

And as the utility firm gains traction on its clean energy investment as well as capacity procurements, Ravelo indicated that these strategies are pursued as “we recognize our impact on the planet, and we will do more as part of our earnest commitment to sustainability.”

He added “as we chart the path towards a brighter and greener energy future, Meralco will continue to evolve and elevate its sustainability agenda to continue powering the good life for all.”

By far, what had been cast on blueprint for Meralco will be P18 billion worth of RE ventures – primarily focusing on solar and wind farm installations.