Solar company bags $12 million loan from ADB

MANILA, Philippines — The Asian Development Bank (ADB) is providing a loan amounting to $12 million for Buskowitz Solar Inc. to support the development of solar rooftops in the Philippines.

A document from the multilateral lender showed the ADB approved the loan from its ordinary capital resources for Buskowitz Solar on Oct. 27.

The ADB said the loan would support the development, construction, and operation of a portfolio of photovoltaic power systems on rooftops of commercial and industrial buildings in the country of up to 70 megawatts.

Buskowitz Solar is a special purpose vehicle incorporated by Buskowitz Energy Inc. to own, build and operate the project.

Buskowitz Energy is providing engineering, procurement and construction, and operations and maintenance services for solar rooftop systems in the country.

“With ADB’s assistance, the project will develop the nascent Philippine rooftop solar market, which has  an installed capacity of 191.8 MW that is highly fragmented across more than 40 participants,” the multilateral lender said.

The ADB said the project is expected to increase installed capacity by 36 percent.

In addition, the project will promote rooftop solar coverage in urban areas outside Metro Manila such as  Bulacan, Laguna, Pampanga, and Pangasinan in Luzon; Bacolod in the Visayas; and Misamis Oriental and Zamboanga in Mindanao.

The ADB said identified and existing sub-projects to be supported by the loan were confirmed to be located in existing buildings within commercial and industrial areas, and not within or close to areas vulnerable to climate risks.

As such, the project is expected to have minimal potential environmental impacts.

“The project is aligned with the objective of the government of the Philippines to increase the share of renewables to at least 35 percent by 2030 and 50 percent by 2040 in line with ADB’s Country Partnership Strategy for the Philippines (2018-2023),” the ADB said.

It also supports ADB’s Strategy 2030, which aims to help improve the competitiveness of solar energy in the electricity sector by showing commercial and industrial rooftop solar can be viable in the country.