Meralco PowerGen Corp. (MGEN) said Sunday SP New Energy Corp. (SPNEC) is a separate corporate entity from Solar Para Sa Bayan Corp. (SPBC), distancing itself from a firm facing a government investigation.
The power generation arm of Manila Electric Co. said it did not acquire any shares in SPBC, which holds a 25-year congressional franchise under Republic Act 11357 to operate microgrids in remote areas.
MGEN said it is not privy to SPBC’s transactions or matters regarding its franchise compliance.
Ombudsman Jesus Crispin Remulla recently announced an investigation into the grant of the 2019 franchise to SPBC, which is led by Rep. Leandro Leviste.
Remulla alleged that the franchise was not properly approved by the House of Representatives.
MGEN head for sustainability, corporate communications and external affairs Christer Gaudiano said the company hopes the statement clarifies the issue and “lays to rest the disinformation” circulating on social media.
According to MGEN, its investment in the publicly listed SPNEC complied with all laws and regulations.
The company said the entry of MGEN and its affiliates was scrutinized and approved by the Philippine Stock Exchange and the Securities and Exchange Commission.
MGEN said the business operations of SPNEC do not depend on the franchise held by SPBC.
SPNEC is now led by the group of businessman Manuel Pangilinan, following MGEN’s investment in the renewable energy developer.
“We hope this clarifies the issue and lays to rest the disinformation coming out especially in social media,” said Gaudiano.
