SP New Energy Corp. (SPNEC) has tapped another Chinese firm to advance the development of its P200-billion solar project in Luzon.
The company said on Monday its subsidiary Terra Solar Philippines Inc. sealed a contract with Power Construction Corp. of China Ltd. (Power China), covering engineering, procurement and construction (EPC).
SPNEC, which serves as Meralco PowerGen Corp.’s (MGen) renewable energy vehicle, is leading the development of the massive Terra Solar project in Nueva Ecija and Bulacan.
According to the group, Power China has an established track record across Africa, Asia and Europe covering several power projects, namely: 540-megawatt (MW) Kauswagan coal-fired power plant, 1,320-MW Dinginin coal-fired power plant and the Dumanjug converter station of the Visayas-Mindanao Interconnection Project.
“We sign this EPC agreement with Power China recognizing their expertise, exceptional track record and unwavering commitment to excellence—we know that they will help us realize our bold ambition,” Manny Rubio, president and chief executive of MGen, said in a filing to the local bourse.
SPNEC said the Chinese firm would focus on Terra Solar’s east section, which covers about 1,505 hectares in Brgy. Makabaklay in Gapan, Brgy. Pias in General Tinio and Brgy. Callos in Peñaranda in Nueva Ecija province.
With this section, Power China would ensure the delivery of 1,050 megawatt peak (MWp) for the Terra Solar development.
In November, SPNEC also welcomed Chinese energy engineering giant Energy China for the development of the west zone, which would also house the solar project’s energy storage system. About 1,400 MWp of Terra Solar’s committed capacity would be handled by Energy China, the group earlier said.
It was not clear yet if SPNEC would tap more contractors for the project.
Terra Solar will have 3,500 MW of total capacity and 4,500 megawatt-hours of battery energy storage system once it becomes operational by 2027.