Solar Philippines eyeing to close supply contract with Meralco

Solar Philippines eyeing to close supply contract with Meralco

Solar Philippines is looking to close a solar power supply contract with the Manila Electric Co. (Meralco) worth 85 – megawatts.

The company challenged the P3.50 per kilowatt-hour rate offered by the Citicore Power Inc. with a P2.99 per kWh counteroffer.

“We should sign soon,” Solar Philippines president Leandro Leviste said. “The price that we had offered is to show in good faith that this can be the standard price for 5,000 MW of solar that can replace the current pipeline of new fossil fuel power plants.”

“It might not be an attractive price for a single 85 MW plant but it will be viable for 5,000 MW to replace fossil fuel,” he added.

Leviste said in a forum yesterday that Citicore, which made an unsolicited offer to Meralco, did not exercise its right to match last month.

Meralco is currently completing the process for the price challenge for Citicore’s offer, senior VP and head of utility economics Lawrence Fernandez said in a separate report.

“I think we’re at that point that we have completed the evaluation of the price challenge. We’re now at the submission of the documentary requirements of the proponent,” he added. However, not mentioning the identity of the company.

“We will announce officially when the contract has been signed,” Fernandez added.