DOE signs 2 onshore wind contracts with a 100 percent foreign-owned company

The Department of Energy (DOE) signed Wind Energy Service Contracts (WESCs) with Mainstream Renewable Power (Mainstream) for the development of two (2) onshore wind projects in Luzon and Visayas.

These projects have a combined capacity of 440 megawatts (MW) and will be developed in Cagayan Province and Leyte --- the 100 MW Santa Ana Cagayan Wind Project and the 340 MW Panaon Wind Project on Panaon Island in Leyte. Each WESC has a 25-year operating period. 

The projects also represent Mainstream's first wholly owned onshore wind service contracts in the Philippines and one of the first 100 percent foreign-owned companies to develop the country's indigenous and renewable energy sources. Mainstream is a leading pure-play renewable energy company, with wind and solar assets across global markets, including in Latin America, Africa and Asia-Pacific.

The signing of the contracts was witnessed by Energy Secretary Raphael P.M. Lotilla and Norwegian Ambassador to the Philippines Christian Lyster.

"The signing of these onshore wind contracts further accelerate the implementation of the thrust of the Marcos Jr. Administration to develop the country's indigenous and renewable sources of energy following the lifting of foreign ownership restrictions on renewable energy development," Secretary Lotilla said. 

For his part, Mainstream General Manager for Asia Pacific, Mr. Eduardo Karlin, said, "The awards of these contracts represent an important milestone for Mainstream as we continue to grow our development footprint across the Philippines. We are committed to the Philippine market and well-placed to be part of the country's energy transition and assist the government in reaching their targets of 35 percent renewable energy by 2030 and 50 percent by 2050".

Mainstream has been operational in the Philippines since 2017, supported by a full technical and commercial development team. It has an existing partnership with Aboitiz Power Corporation to develop the 58 MW onshore wind project in Camarines Sur. This project has a 20-year offtake contract through the Green Energy Auction Program (GEAP) of the DOE. The project's construction is expected to commence in late 2024, while the commercial operation is expected in 2026.

"With the Philippine economy now thriving, marked by good growth and optimistic forecasts, we are pleased with the positive response of foreign and local investors to pour in capital in our country's renewable energy sources. Mainstream will be bringing in financial muscle and technological heft to work with our world-class workers throughout the construction and operational phases of all these projects, which means more employment for our people and livelihood opportunities in these areas," the Secretary added.

Meanwhile, Ambassador Lyster is pleased to see Mainstream taking advantage of DOE’s efforts in creating conducive conditions for renewable energy development in the Philippines and stressed that Norway remains a committed partner to the Philippines in its shift to renewable energy.

To date, the DOE has issued 21 WESCs to foreign-owned companies/developers, 4 of which are for offshore wind while 17 are for onshore wind. Some of these companies are owned or partly owned by developers in European countries such as Denmark, Belgium, France and The Netherlands. ###