Alcantara-led Alsons Power has sealed its first retail electricity supply (RES) agreement with Holcim Philippines, Inc., a leading supplier of cement and construction aggregates in the country.

In the power supply deal inked by the parties, it was stipulated that “Alsons Power will supply 80% of the energy requirements of Holcim Philippines' facilities in Davao and Lugait, Misamis Oriental.”

Holcim’s volume procurement as well as the agreed tariff and value-added services had not been divulged by the two firms, although it is well regarded in the power industry that the RES space is where tough competition has been happening among power suppliers.

According to Alsons Power, it was prompted to officially enter the retail segment of the restructured electricity sector when the policy regime of retail competition and open access (RCOA) made its debut in Mindanao grid this year.

In the supply pact with Holcim, Alsons Power Chief Executive Officer Antonio Miguel B. Alcantara emphasized that by “leveraging our extensive expertise and robust power portfolio, we are fully committed to powering Holcim Philippines as they continue to advance the country’s progress through their world-class construction and building solutions.”

He added “this partnership with Holcim marks a great start for our RES business,” adding that beyond their first valuable customer, “we are eager to provide a reliable and affordable power supply to other industries and businesses as we continue to grow our RES portfolio.”

And on the part of Holcim as a customer, it is expecting that its shift to RES service “will yield substantial savings on electricity costs,” with the cement firm highlighting that it will lean on “Alsons Power's track record of being one of the most dependable and cost-effective suppliers in the market.”

The cement industry is one of those known to have most power-intensive operations, hence, having that leeway to negotiate for a price as well as the quality of service with preferred suppliers will ably empower customers on cornering warranted cost savings.

Holcim Philippines Senior Vice President and Head of Supply Chain Edwin Villas noted “partnering with Alsons Power is the right choice given its strong and trusted reputation for providing reliable and affordable electricity in its three decades in the energy industry.”

He similarly conveyed that the tie-up with their power supplier “will help us achieve our business goals and sustainability aspirations.”

The Alcantara firm expounded that its suite of offers in the RES business sphere would be of diversified portfolio – and the seal of guarantee in their contracts would be provision of “consistent and dependable electricity.”

“The Alcantara-led power business unit offers affordable power supply options tailored to the specific needs of its customers and designed to reduce costs,” Alsons Power stressed; while qualifying that “RES customers will have access to a wide range of value-added services, including energy management, energy audits, and other supportive measures to help enhance efficiency and performance.”