MANILA, Philippines — Companies under taipan Lucio Tan’s LT Group Inc. (LTG) have transitioned to renewable energy, tapping Lopez-led First Gen Corp. to power their operations.
The agreement covers 21 megawatts (MW) of power supply for LTG firms, including Philippine Airlines (PAL), Lufthansa Technik Philippines, MacroAsia SATS FoodIndustries Corp., MacroAsia Catering Services, Grandspan Development Corp. and Absolut Distillers.
Six projects of real estate arm Eton Properties, meanwhile, will receive eight MW of clean power, including office buildings in Quezon City and a mixed-use development in Makati.
The electricity supply will come from geothermal plants owned and operated by First Gen subsidiary Energy Development Corp.
This strategic deal with First Gen supports LTG’s push to diversify its energy sources and reduce reliance on conventional fuels.
“As we continue to grow, we want to do so in a responsible and prudent way. This partnership is just the beginning of our broader efforts to ensure a reliable energy supply for businesses across the group,” LTG and PAL Holdings president Lucio Tan III said.
“Ultimately, our goal is to create meaningful economic and environmental impact, helping build a more resilient future for both people and the planet,” Tan said.
LTG is a diversified conglomerate with key interests in aviation, banking, tobacco, property, beverages and related services.
“The fulfillment of this partnership sends a powerful message that companies across aviation, real estate, manufacturing and hospitality can lead the way toward a low-carbon future,” First Gen president and COO Francis Giles Puno said.
Puno also underscored the critical role of geothermal energy in powering businesses and industries, citing its reliability as a baseload power source.
Unlike intermittent renewable sources such as solar and wind, geothermal plants can deliver a continuous and stable supply of electricity.
First Gen, the country’s third-largest power producer by market share, operates the largest geothermal portfolio in the Philippines.