Solar Philippines offers 2.99 per kwh 24/7 power to Meralco

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Renewable energy company Solar Philippines has offered a P2.99 per kilowatt-hour (kwh) power rates to the Manila Electric Co. (Meralco), challenging  First NatGas Power Corp.’s bid.

The company has submitted an offer for 24/7 power for P2.99 per kwh to Meralco which challenges First NatGas’ price proposal from its 414 MW San Gabriel gas power plant in Batangas.  

This follows Meralco’s declaration of bidding in the competitive selection process (CSP) where no company qualified to challenge the first proposal.

According to Solar Philippines, the offered rate would allow consumers “to save over 30 percent” or around P75 billion per annum versus Meralco’s average generation rate of P4.74 per kwh in the past three months.

“Meralco can save an average of 30 percent thanks to advances in solar and battery storage,” Solar Philippines president Leandro Leviste said in a statement.

“Re-bidding this requirement in line with DOE’s technology-neutral policy will encourage competition and ensure consumers can enjoy significant savings,” he added.

With Solar Philippines’ offer, Meralco will choose either to re-bid under the same terms or amend it to allow other technologies to compete on the basis of costs, a Philippine Star report said.

Solar Philippines recently installed the first MW-scale Solar-Battery Micro-Grid in the country in Paluan, Occidental Mindoro, to give 24/7 reliable power for the entire town at a lower cost versus gas.

Recently, Energy secretary Alfonso Cusi issued a policy that power procurement should be “technology neutral” and will not favor any single supplier.