The Bank of the Philippine Islands (BPI) says it is bullish on solar power investments in the country, calling it a “low-hanging fruit” for most companies that can cut energy costs in the long-term.

If done correctly, businesses can save nearly 35% on electricity, resulting in savings that can be used for more productive purposes, BPI Sustainable Development Finance (SDF) deputy head Anna Liza Eugenio said in a BusinessWorld report.

Last year, BPI SDF funded 365 projects in the first half alone. These include Php28 billion in credit to 158 energy efficiency projects, Php139 billion for renewable energy (RE), and Php34 billion for 109 climate resilience developments.

Meanwhile, BPI RE consultant Silverio Navarro, Jr. believes the country has potential for tapping solar energy as it has an abundance of sunny days due to the fact that it is a tropical country.

Based on the Global Solar Atlas, Luzon and Mindanao host the highest concentrations of solar power potential in the country.

BPI is the Philippines’ fourth largest bank, based on data from the Bangko Sentral ng Pilipinas (BSP) as of end-September 2021.

Back in December, BDO Unibank — the country’s largest bank — said it was open to funding RE and nuclear power projects. Following this, government-owned Development Bank of the Philippines launched a loan program for RE ventures, primarily for solar.

The BSP has urged local banks to fund the Philippines’ energy transition after the Asian Development Bank partnered with the government for the said program.