MGreen units raise P2.8 billion to fund solar projects

MANILA, Philippines — Two subsidiaries of MGen Renewable Energy Inc. (MGreen) borrowed a total of P2.825 billion to bankroll their solar power plants that are set to start operations by the first quarter of next year.

MGreen said both Greenergy for Global Inc. (GGI) and Greentech Solar Energy Inc. (GSEI) secured 15-year loans from Security Bank for their projects that have a combined capacity of 67.75 megawatts AC (MWac) of renewable energy. 

GGI received a P2.034 billion financing to fund the ongoing construction of its 49 MWac solar project in Cordon, Isabela. GSEI, on the other hand, raised P791 million to develop its 18.75 MWac solar plant in Bongabon, Nueva Ecija.

The two solar energy firms were among the winning bidders in the Department of Energy’s second round of Green Energy Auction Program, according to MGreen. 

Both projects would expand MGreen’s solar power capacity and contribute significantly to the nation’s renewable energy aspirations, the company said.

“This loan will facilitate growth, foster innovation and create opportunities that will benefit many. It is a stepping stone toward achieving our collective goals and realizing our aspirations,” MGreen president and CEO Jaime Azurin said. 

Security Bank senior vice president, Louie Maloles said the collaboration for  the two projects allowed the bank to pursue the industry’s drive toward sustainable financing as well as their commitment for “Better Banking.”

MGreen is the renewable energy arm of  Meralco PowerGen Corp., a wholly owned subsidiary of Manila Electric Co.