San Miguel Corp. is investing in a massive buildup of power generation capacity based on renewable energy amid a global decline in investment in this platform.
SMC president and chief operating officer Ramon S. Ang said in an interview that the conglomerate would build up a portfolio of wind, hydro and tidal energy, and a storage for electricity.
“We will invest heavily [in these technologies] over the next 10 years for up to 10,000 megawatts [of generating capacity],” Ang told reporters.
He added that for hydroelectric facilities alone, SMC is considering to build power plants with up to 1,000 MW each of capacity.
Asked when this investment campaign would roll out, Ang said: “We are investing in renewable energy at this very moment.”
Currently, a subsidiary of San Miguel is operating the 345-MW San Roque hydroelectric multipurpose power project in Pangasinan under an agreement with state firm Power Sector Assets and Liabilities Management Corp.
According to the International Energy Agency’s World Energy Investment 2018 report, global inflation-adjustment energy investments dipped by 2 percent to $1.8 trillion in 2017.
The report showed that last year was the third consecutive year of decline. The electricity segment represents more than half of total investments at $750 billion, but this meant a drop of 6 percent compared to 2016 outlays.
Also, IEA energy investment analyst Michael Waldron said global investment in renewable energy fell by 7 percent in 2017, the worst in at least 15 years.
Citing IEA projections for a sustainable development scenario, Waldron said global investment in renewable electricity had to double to meet the goals, to some $550 billion a year by 2030.