OIL refiner and distributor Pilipinas Shell Petroleum Corp. (PSPC) is looking at investing in renewable energy (RE) projects in the Philippines.
“We’re scouting for opportunities but globally—we have declared that as a global priority for us—scouting for RE, in general. We’re prepared to use a number of platforms depending on what may be commercially viable opportunity,” Pilipinas Shell President and Chairman and Cesar G. Romero told reporters in an interview.
This is very much still in the early phase and is one of the priorities of the Royal Dutch Shell Group, Romero said.
The newly installed Pilipinas Shell chief said that the common start would be solar, then the company can explore various combinations such as solar, gas, and hydro, but it will be location-dependent.
“Combination with gas, or even diesel gensets, depends on what is suitable. There are some combinations which [are]big, like solar with some storage, with diesel genset for boosting, which also can be on-grid and off-grid,” he explained.
The company is also considering to create a new holding company for its RE investment in the country.
“We’re considering that, either a holding company or if it can be housed somewhere,” Romero said.
“Just to demonstrate seriousness of the company, we’ve formed a new organization globally, New Energies, we are told it’s a separate department within Shell Global, so that demonstrates how serious we are in the area,” he added.
Also, the newly listed company is open to partner with other companies. “We’re open-minded to partnering,” Romero said.
“We believe we need to make a contribution towards a more sustainable future… and part of that is our thrust towards going to a lower carbon footprint. Don’t get me wrong, oil will continue to play an important role,” he said.
“In particular, we are pushing gas extensively. As probably many of you know, we are the biggest player in gas. Related to that is this New Energies group that we have just formed globally to start looking for opportunities in the RE space,” he said.
“We are exploring various business models. We will look at what may be viable commercial arrangements. Probably that’s one of our strengths, so you’re not beholden to one,” he added.
“Rather than just being an oil and gas company, we want to be an energy solutions provider,” he said, with oil and gas and renewables all forming part of its integrated services.