THE state-owned Bases Conversion and Development Authority (BCDA) signed on Wednesday an agreement with Sunray Power Inc. (SPI) for the lease of a 260-hectare area in Clark Green City (CGC) on which SPI will build a 100-megawatt solar power facility worth P11.75 billion.
CGC is a 9,450-hectare master-planned property within the Clark Special Economic Zone in the province of Tarlac, and is envisioned to be the first smart, disaster-resilient and green city in the Philippines.
Under the agreement, SPI has committed to invest $250 million (roughly P11.8 billion) within two years. BCDA will receive annual lease payments and a share in the revenue of generated power.
SPI also committed to employ 1,000 workers during the construction period and at least 250 workers during the operation of the solar power plant.
Arnel Paciano Casanova, BCDA president and chief executive officer, said that the BCDA is looking forward to its partnership with SPI to provide clean and renewable energy not only to Clark Green City but also to neighboring areas in Central Luzon.
The term of the lease is 25 years and may be renewed for another 25 years subject to renewal negotiations. The location is a reserved space for green development programs such as renewable energy, urban farming and forest reserves.
Casanova said renewable energy facilities such as the solar farm will lead to the establishment of technology development centers focusing on green and smart technology.
As part of the agreement, BCDA and SPI will invest to train young Filipinos to be abreast in the latest developments in green and smart technology in line with its corporate social responsibility (CSR) program.
Casanova said the use of renewable energy such as solar power to energize Clark Green City shows BCDA’s commitment to address the effects of climate change and global warming.
“We are very mindful of the impact of climate change in the Philippines and there is no other recourse but to adopt renewables as the main source of energy to power Clark Green City,” Casanova said.
He noted that the BCDA commitment to renewables is also in line with the thrust under the recent COP21 Paris Climate Summit to transition to a green and sustainable economy to address climate change.
SPI is a Philippine corporation formed to develop, construct and own utility-scale power generating facilities for the production, generation, sale and storage of electricity harnessed from renewable energy sources such as solar, wind and waste-to-energy technology.
SPI and its consortium of green technology companies possess expertise and proprietary licenses for solar photovoltaic, wind, waste-to-energy, and storage equipment not available in the Philippines.
Last July, the BCDA and SSR C-Solar Power Inc. also signed a lease agreement for a solar energy farm in Clark Green City capable of generating some 20 megawatts of electricity.
SSR C-Solar Power Inc. committed to invest some P1 billion for the solar energy project within the next two years.