CONVERGE ICT Solutions, Inc. is planning to further reduce its power expenses as part of sustainability efforts as it pursues growth.
“Aside from switching to clean energy, Converge is eyeing to implement a solar hybrid system to further cut down on energy costs, and exploring the viability of electric vehicle integration,” the company said in an e-mailed statement.
The company has switched to 100% clean energy to run its data center in Angeles City, Pampanga.
The facility is owned and operated by Converge’s parent company, ComClark Network and Technologies Corp.
The listed fiber internet service provider recently entered into a supply contract with First Gen subsidiary, Greencore Geothermal, to secure 14.4 megawatts (MW) of geothermal energy for two years (or 7.2 MW per year) until 2024 for the data center.
“The contract was availed under the government’s Retail Competition and Open Access as mandated by the Electric Power Industry Reform Act of 2001 and with Greencore in compliance with the Department of Energy’s Renewable Portfolio Standards,” the company said.
“In 2021, Converge concluded a similar agreement with Lopez Holdings’ First Gen, contracting 48 MW of geothermal energy until 2023 for the company’s headquarters in Pasig, Metro Manila which also houses a data center,” it added.
Dennis Anthony H. Uy, chief executive officer and co-founder of Converge, noted that the company is progressively moving towards the use of renewable energy in its operations.
“Data centers which operate 24/7 require a lot of cooling and thus, consume a lot of energy. This is the reason why we need to ensure that our power requirement comes from renewable sources like geothermal energy so that it will have less impact on the environment,” he said.
“Converge is continuously looking for ways to further reduce its carbon footprint as we have always believed that we need to protect the environment for our business to be sustainable and continue to flourish,” he added.
Converge has budgeted around P26-28 billion for capital expenditures this year, up from last year’s P25 billion, primarily to continue its expansion.
Its net income more than doubled to P7.16 billion in 2021 from P3.39 billion in 2020.
“Converge is on track to reach its adjusted goal of approximately 55% nationwide household coverage by 2023, two years earlier than promised during the initial public offering,” the company said. — Arjay L. Balinbin