Fort Pilar Energy Inc. is increasing its presence in the power sector with its latest acquisition—a solar power company worth P1.5 billion.
Fort Pilar bought Alterpower Digos Solar Inc. (ADSI) for P1.5 billion from the joint venture of Hanwha Global Asset Corporation and Alterpower Specialist, Inc.
ADSI owns and operates the Digos Solar Power Plant, which has a capacity of 28.59 megawatts (MW). The plant has been operating since March 2016.
“Our acquisition of ADSI signals our company’s pivot to the power industry. While we remain committed to our legacy businesses in infrastructure and transportation, we believe that our company’s shift to the energy industry is a logical transition given our track record in building successful enterprises in challenging industries,” said Fort Pilar chairperson Sheila B. Romero said.
“Our investment in a solar power plant in Mindanao reflects our firm belief that the growth of the Philippines lies in the development of our rural areas.”
Fort Pilar plans to expand the Digos plant to 40MW to reach its full capacity under its solar service contract. Expansion plans include the upgrade of its electrical systems, acquisition of more powerful PV cells and increasing its footprint in the Digos area. The company is allocating P500 million to finance the expansion of the power plant.
The location of the Digos Solar Power Plant is considered a prime area for solar irradiation. The power plant produces an approximate irradiation of 1,872.4 kwh per square meter. It harnesses UV rays from the sun through 92,232 Polycrystalline PV Modules. The plant currently produces up to 43 million kilowatt hours annually.
Fort Pilar is currently building a battery energy storage system in Zamboanga city. The battery site is set to be commissioned in February 2022.
Fort Pilar’s subsidiary, Belgrove Power Corp., earlier bought the 650-megawatt Malaya Thermal Power Plant (MTPP) for over P4 billion from the Power Sector Assets and Liabilities Management Corp. (PSALM).
Belgrove intends to undertake the necessary repairs as soon as possible so that the Malaya Power Plant can resume operations. Once the MTPP is repaired by Belgrove, it can supply electricity to the Luzon grid and help ensure sufficient electricity supply in anticipation of the 2022 national elections.