Taisei Corp., one of Japan’s biggest general contractors, signed an investment framework and shareholders agreement with PetroGreen Energy Corp. (PGEC) to take a 25-percent equity stake in the latter’s subsidiary Rizal Green Energy Corp. (RGEC).
The investment covers the funding, construction and operation of an initial portfolio of four solar power facilities totaling 112.6 megawatts (MW).
This includes the 41-MW Limbauan project in Isabela, the 25-MW Bugallon project in Pangasinan, the 19.6-MW San Jose project in Nueva Ecija and the 27-MW Dagohoy solar project in Bohol.
Taisei Corp. has been in the Philippines since 1982 operating as a general contractor mostly on official development assistance (ODA)-funded infrastructures but the partnership deal with the Yuchengco-led firm is its first equity investment in renewable energy (RE) outside Japan.
“We are honored that Taisei Corp. has chosen the Philippines to make its first overseas equity investment in RE. Following on the 2022 partnership we forged with Kyuden International Corp., Taisei’s entry not only validates PGEC’s performance and integrity as an RE developer and partner but also testifies to the vastly improved energy investment climate in the country under the present administration,” PGEC chair Milagros Reyes said.
“We are very pleased to be able to contribute to renewable energy in the Philippines, which is experiencing remarkable development, and more importantly, to participate in this project as a business partner with PGEC,” Taisei executive vice president Jiro Taniyama said.
PGEC board director and KIC Asia Division managing director Keichi Niinuma said Kyuden and Taisei worked well together in Japan and are extending this collaboration as equity partners in the Philippines with YGC.
“Combining Taisei’s engineering and construction expertise with Kyuden’s and PGEC’s experience in the Philippine energy market and regulatory environment, we hope to explore other RE opportunities such as hydropower, floating solar, energy storage and efficiency and others to boost the Philippines’ transition to a net-zero future,” Niinuma said.
PGEC is 75-percent owned by PetroEnergy Resources Corp. and 25 percent by Kyuden International Corp.
