ABOITIZ Renewables, Inc. (ARI) has secured a P20-billion loan agreement with state-led Land Bank of the Philippines to fund the expansion of its renewable energy (RE) portfolio, its parent firm said.
“This loan will allow us to continue providing clean and sustainable energy to help meet the growing demand in the country,” James A. Villaroman, chief renewable energy officer of Aboitiz Power Corp. (AboitizPower), said in a media release on Thursday.
He said the loan will fund the ongoing expansion of AboitizPower’s renewable energy arm including the development of new RE plants.
Mr. Villaroman said the company is targeting to spend about P190 billion within this decade for an additional 3,700 megawatts (MW) of clean energy. The expansion would result in AboitizPower having a 50:50 balance of RE and thermal capacities by 2030.
He said that the loan also aligns with AboitizPower’s commitment to growing its RE portfolio.
Liza Luv T. Montelibano, senior vice-president and chief financial officer and corporate information officer of AboitizPower, said the loan shows the company’s “strong financial position and its lending partners’ trust in the organization.”
She said the company is looking forward to continuing to work with the bank and other financial institutions “as we drive the growth of renewable energy in the country.”
As of November, AboitizPower’s portfolio reached 1,000 MW of disclosed and under-construction RE projects.
Data from its website show that together with partners, the group’s total net sellable capacity was at 5,322 MW, with an energy mix of 23% Cleanergy and 77% thermal energy. Cleanergy is the company’s renewables brand.
In October, AboitizPower and Mainstream Renewable Power partnered to build a 90-MW onshore wind project in Libmanan, Camarines Sur.
The state-owned bank is said to be committed to supporting the development of renewables in the country.
On Thursday, shares in AboitizPower closed 0.86% lower to end at P34.70 apiece. — Ashley Erika O. Jose