The Philippine energy sector has come a long way in the last 10 years, ushering in an era of landmark policies and initiatives geared towards industry competitiveness and environmental sustainability.
Over the past decade, the power sector has shifted from being highly dependent on fossil fuel to employing a more balanced energy mix with various companies taking a more active role in utilizing clean and renewable energy.
In 2013, renewable energy contributed around 26 percent of the country’s total power consumption. This has since increased to over 30 percent by the end of 2018 mainly due to the national government’s campaign to increase its use, as well as the growing appetite of consumers for more sustainable sources of power.
The government has committed to making sure that renewables contribute at least 50 percent of the country’s total energy consumption by 2030. This is an optimistic goal given the growing awareness of companies towards the impact of renewable energy on their operations as well as the communities they serve.
Long before the trend on “green” and sustainable practices took shape, green office developer and operator NEO Property Management, Inc. (NEO) had already been at the forefront of clean and renewable energy. In 2013, NEO partnered with AboitizPower for Cleanergy, the latter’s brand for clean and renewable energy.
In January 2019, NEO renewed its partnership with AboitizPower for the supply of 13.5 megawatts (MW) to its facilities in Bonifacio Global City, Taguig.
“We want to give our customers an overall ‘green’ experience, from the design and architecture of our buildings, up to the power supply we use,” NEO Chief Executive Officer Raymond Rufino earlier said.
The use of renewable resources like geothermal reduces 90 percent of carbon emissions from power generation.
Power of choice
Under the Retail Competition and Open Access (RCOA), bulk electricity consumers or contestable customers are empowered to choose their own electricity supplier, giving them the opportunity to save on their electricity costs and choose from diverse sources of power supply.
Food and beverage industry leader Nestlé Philippines made the switch to Cleanergy in 2017, partnering with AboitizPower for the supply of clean and renewable energy to its manufacturing facility in Lipa, Batangas. Following this switch, more Nestle facilities have been powered by Cleanergy – factories in Cabuyao, Laguna and Tanuan, Batangas, as well as its corporate administrative office in Makati City.
The 17-MW aggregated energy demand of the Nestlé facilities comes from AboitizPower’s MakBan geothermal power plant in the provinces of Laguna and Batangas.
Shangri-La’s Mactan Resort & Spa in Cebu, one of the country’s top resort destinations, also chose AboitizPower’s Cleanergy to power their operations and support their environmental sustainability initiatives. Shangri-La’s other facilities in the country powered by Cleanergy are Shangri-La at The Fort, Shangri-La’s Boracay Resort & Spa, and Hotel Jen Manila by Shangri-La, to which AboitizPower supplies a total of 10.4 MW.
AboitizPower also supplies a total of 15.7 MW of Cleanergy to Asian Development Bank, Draka Philippines, Eton Properties, and Unionbank, among others.
AboitizPower has a total of 32 Cleanergy customers in Luzon and Visayas, which accounts for a total of 203 MW of renewable supply.
The push for Cleanergy is not only driven by large industry players. For local cooperatives and private distribution utilities, the value of AboitizPower’s renewable energy brand is ever more apparent.
Sustainable, reliable, and cost-effective power
Siargao Island’s power distributor, Siargao Electric Cooperative (Siarelco), sources at least one MW of power from AboitizPower’s Manolo Fortich hydropower plant in Bukidnon.
“Siargao is one of the top tourist destinations. While we welcome more guests, local and foreign alike, we wanted to ensure that we continue to do our part in taking care of our island,” Siarelco General Manager Sergio Dagooc has said.
In the last two years, electric cooperatives in Zamboanga del Sur, Zamboanga del Norte, Bukidnon, and Misamis Occidental have shifted to a more balanced energy mix as well.
Ten municipalities of Nueva Ecija now also power their homes and businesses with clean and renewable energy after Nueva Ecija II Electric Cooperative, Inc. signed a 33-MW power supply deal with AboitizPower earlier this year.
MORE Electric and Power Corp., Iloilo City’s power distributor, signed an interim power supply agreement in May with AboitizPower for 10 MW of Cleanergy from its Tiwi and MakBan geothermal plants in the provinces of Albay and Laguna and Batangas, respectively.
Through its Cleanergy portfolio, AboitizPower and its partners generate a total of 1,242 MW, which is about 27 percent of the company’s net sellable capacity. Its renewable energy portfolio includes solar, geothermal, run-of-river hydro, and large hydropower facilities all over the country.
“We are truly honored to have been chosen as a partner of all these successful businesses and organizations. It is our commitment to continue providing ample, reliable, and reasonably-produced power to our customers by maximizing renewable energy for as long as feasible, while at the same time using the reliability and cost-efficiency of fossil-fired power plants,”AboitizPower President and Chief Executive Officer Emmanuel V. Rubio said.
AboitizPower remains committed to helping address the country’s energy trilemma of energy security, energy equity, and environmental sustainability through its balanced mix portfolio.