ERC greenlights MERALCO’s RE deals

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The Energy Regulatory Commission (ERC) has given provisional approval to two Power Supply Agreements (PSAs) involving Manila Electric Company (MERALCO) and the renewable energy subsidiaries of ACEN and San Miguel Corporation.

In a report by Manila Bulletin, MERALCO and ACEN-led Gigasol 3, Inc. are set to proceed with their PSA implementation following the ERC’s approval but must first comply with additional requirements and submit pending documents.

The approval came after MERALCO’s competitive bidding earlier this year to secure 500 megawatts (MW) of renewable energy supply, where Gigasol 3 emerged as one of the top bidders in July.

Similarly, San Miguel-led San Roque Hydropower, Inc. (SRHI) secured a top bid in the same process and will advance its PSA under the ERC’s directive.

The ERC clarified that the electricity rate under these two agreements will remain fixed at P5.1908 per kilowatt-hour (kWh) and will not be subject to adjustments or increases.

In the bidding process, Gigasol 3 initially offered a rate of Php 8.1819 per kWh to supply 139 MW of MERALCO’s requirement, while SRHI proposed Php 7.10 per kWh for 340 MW.

Santa Cruz Solar Energy Inc. (SCSEI), on the other hand, submitted the winning bid for the remaining 21 MW at Php 8.1998 per kWh.

The PSAs, conducted through a competitive selection process, aim to meet MERALCO’s demand for 350 MW of renewable energy starting February 2025, which will increase to 500 MW by February 2026.



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