Green energy solutions provider Vena Energy and MGen Renewable Energy, Inc. (MGreen), the renewable energy unit of Meralco PowerGen Corporation, announced the completion of financing agreements for their solar power project in Pangasinan.
In a statement released on Wednesday, Jan. 15, Vena Energy and MGreen confirmed reaching financial closure on the 550-megawatt (MW) Bugallon Solar Power Project. Construction is expected to be finalized by the fourth quarter of this year.
The project secured partial financing through a green loan facility totaling approximately P18.3 billion from Security Bank Corporation (SB), Rizal Commercial Banking Corporation (RCBC), and the Philippine National Bank (PNB).
Vena Energy disclosed that SB Capital Investment Corp., RCBC Capital Corp., and PNB Capital and Investment Corp. served as the mandated lead arrangers, with RCBC acting as the green loan coordinator.
The energy firm anticipates the creation of approximately 7,000 jobs during the construction phase, with significant workforce participation from communities in Bugallon and neighboring areas.
Upon commencement of commercial operations, the solar project is projected to generate approximately 958 gigawatt-hours (GWh) of clean energy annually. This is equivalent to powering over 810,000 households and reducing greenhouse gas emissions by 640,000 tons.
Simone Grasso, Vena Energy’s Chief Investment Officer, emphasized that this financial closure will contribute to the advancement of renewable energy generation in the Philippines.
“We appreciate the unwavering confidence and support of our banking partners in our initiatives," Grasso stated. "This facility will be instrumental in driving our growth in the Philippines as we continue to deliver innovative green solutions to our customers and accelerate the energy transition across the Asia Pacific region.”
Dennis Jordan, MGreen’s President and Chief Executive Officer, added, “We bring our collective strengths and visions into alignment, enabling us to make a definitive step towards making a greater impact in the country's journey towards a cleaner and sustainable energy future.”
Vena Energy boasts a diverse portfolio of onshore wind, solar, and offshore wind (OSW) projects with a combined capacity of 39 gigawatts (GW).
Furthermore, the company possesses a green infrastructure pipeline that includes 24 GWh of battery energy storage systems (BESS) and 620 MW (DC) of data centers, among other initiatives.