MANILA, Philippines — Alternergy Holdings Corp. secured another loan this week to finance the construction of its renewable energy projects, which are aligned with the government’s goal of increasing green energy supply in the country.
On Thursday, the listed company announced it had obtained a P2-billion green corporate loan facility from BDO Unibank Inc., with BDO Capital & Investment Corp. as the mandated lead arranger for the transaction.
The RE firm, prior to this, was granted P8-billion project financing by Bank of the Philippine Islands and Security Bank Corp. BPI Capital Corp. and SB Capital Investment Corp. handled the transaction.
READ: Alternergy secures P 8-B loan to bankroll wind project
Alternergy has tapped bank lending to build up coffers and realize its vision of establishing an additional 474-megawatt (MW) energy capacity via wind, solar, and run-of-river hydro projects in the next three years.
According to London-based think tank Ember, the Philippines generated just 22 percent, or below the global average, of its electricity from renewables last year. Coal-fired power, which emits more carbon emissions, has remained the primary source of energy in the country.
RE share in the energy mix
The Philippine government aims to increase the share of renewable energy to 27 percent by 2028.
Among the projects in the pipeline of Alternergy is the 112-MW wind power project in Tanay, Rizal.
For this project, the wind turbine supply contract was awarded to global technology firm Envision Energy. China Energy Engineering Group Guangdong Electric Power Design Institute Co. Ltd. and its local subsidiary were tapped for the plant engineering, procurement, and construction.
READ: Renewable energy in PH still below global average
Alternergy is also developing the Alabat Wind Power Project in Quezon Province and the Solana solar facility in Bataan.
The listed company raised P1.62 billion from its initial public offering in March last year. It earmarked P113 million of the proceeds for the Tanay wind project and some P100 million for the Alabat project.
In the first quarter, Alternergy saw its net income soar by 173 percent to P27.85 million from P10.19 million a year ago. The growth was supported by revenues from the sale of electricity nearly doubling to P82.31 million for the period.