By Nimfa L. Estrellado-Laurino ACEN relinquished the operating contract for a planned 336-MW solar project in Pagbilao after citing land...
By Nimfa L. Estrellado-Laurino
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| ACEN relinquished the operating contract for a planned 336-MW solar project in Pagbilao after citing land acquisition challenges. (ACEN) |
PAGBILAO, Quezon — Land acquisition problems have recently derailed a planned 336-megawatt solar project in Pagbilao, removing a major renewable-energy proposal from the municipality’s development pipeline. ACEN Corp. subsidiary Abagat Energy Corp. relinquished its government operating contract after encountering difficulties securing sufficient land for the proposed site.
According to ACEN’s disclosure to the Philippine Stock Exchange, the Pagbilao Solar Power Plant had a potential generating capacity of 336 MW and remained at an early stage of development when the contract was surrendered. The filing did not identify the barangays, total land requirement, number of landowners involved or the stage reached in property negotiations.
ACEN said the relinquishment would not materially affect its operations because the affected developments had not advanced beyond the early project stage. Neither project had reached a final investment decision or begun commercial operations when the contracts were surrendered.
“The cancellation of these service/operating contracts has no material effect on ACEN’s operations, as these projects are still in the early stages of development, have not reached a final investment decision, and neither subsidiary has commenced any commercial operations.” ACEN said.
Pagbilao already hosts major energy facilities, while the proposed solar facility would have added another large renewable-power investment to the municipality. The contract surrender removes the planned 336-MW development from Abagat Energy’s current renewable-energy portfolio in Pagbilao.
ACEN continues to develop renewable-energy projects elsewhere in Quezon, including the 344.5-MW Quezon North Wind Power Project through wholly owned subsidiary Giga Ace 6 Inc. The company executed another short-term loan agreement of up to ₱1 billion on September 18 to support continued development of the wind project.
ACEN listed Abagat Energy’s Pagbilao contract among the solar energy operating contracts voluntarily relinquished by its subsidiaries. The filing provided the contract number, project location and company explanation for the surrender.
“The following ACEN subsidiaries voluntarily relinquished their Solar Energy Operating Contracts. Abagat Energy Corporation’s SEOC No. 2024-08-938 covered an area in Pagbilao, Quezon, and was relinquished due to significant land acquisition challenges affecting the project site.” ACEN said.
ACEN’s disclosure did not state whether Abagat Energy is considering another location for the proposed solar capacity after surrendering the Pagbilao contract. The filing also did not indicate whether the company intends to pursue another solar development within the municipality.
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