Listed Basic Energy Corporation is allocating about P1.9 billion for the development of a 43.41-megawatt alternating current (MWac) solar power project in Cadiz City, Negros Occidental.
In a disclosure on Thursday, the company said it has received a certificate of award from the Department of Energy (DoE) after successful bidding in the fourth round of Green Energy Auction (GEA-4).
GEA-4 projects cover technologies such as ground-mounted, rooftop-mounted and floating solar; onshore wind; and solar power integrated with energy storage systems.
“With the receipt of the award certificate, the company is moving forward to complete the remaining project requirements, including the execution of necessary agreements in preparation for the development and delivery of the project to the Visayas grid,” Basic Energy said.
Commercial operations of the solar project are expected to begin by or before the end of the year.
Basic Energy Chief Executive Officer Oscar L. De Venecia, Jr. said construction has not yet begun as the company completes remaining pre-development requirements. Construction work will begin once these requirements are finalized, in line with the overall development timeline of the project.
“The company is conscious of the delivery commitment of the project and is managing the development work accordingly. However, construction will commence only after the remaining pre-development requirements are completed,” he said.
Last year, he said the company had allocated up to P300 million to finance pre-development activities for its renewable energy projects over the next two to three years.
Basic Energy is working on three solar projects with a combined capacity of about 150 MW and aims to build a 1-GW renewable energy portfolio by 2030.
The company's shares closed 8.06% higher at P0.134 per share on the local bourse on Thursday. — Sheldin Joy Talavera