Solar Philippines (SP), through its joint venture (JV) with Medco Energi (Medco), has sealed a power supply deal with Indonesia’s state utility PLN.
The 20-year Power Purchase Agreements (PPA) are for the 25 megawatt (MW) solar farm in East Bali and another25 MW solar farm in West Bali, which would be the largest ground-mounted solar project in Indonesia to date.
SP began developing these Bali solar projects in 2017, formed its JV with Medco to submit a bid in PLN’s first competitive auction for utility-scale solar in 2019, and finally signed the PPA on March 24. Construction is scheduled to begin by 2023. The Medco-SP JV beat several international power companies to win both projects in this auction.
“If we can do this in Indonesia, then we should do so all the more in the Philippines, under the same model of winning projects with JVs,” said Solar Philippines founder Leandro Leviste.
SP has granted Solar Philippines Nueva Ecija Corp. (SPNEC) the option to subscribe to its share in the JV in which it holds 49 percent, subject to regulations including securing approval from PLN.