The Bank of the Philippine Islands (BPI) has closed a P7.4-billion project finance facility for AP Renewable Energy Corp., a wholly-owned subsidiary of Aboitiz Renewables Inc., to support the construction of a 221-megawatt peak (MWp) solar power plant in Olongapo, Zambales.

The deal underscores BPI’s push to grow its sustainable finance portfolio while backing the country’s shift toward renewable energy.

The Olongapo Solar project forms part of AboitizPower’s broader expansion into clean energy as it pursues its target of building a more diversified and sustainable generation mix.

“We are committed to partnering with businesses that share this mission, helping them finance projects that make a positive impact on both the environment and our communities,” BPI Institutional Banking head Louie Cruz said.

Step forward

For Aboitiz Renewables, the project is a step forward in ramping up its renewable capacity.

“Olongapo Solar represents a major contribution to AboitizPower’s clean energy portfolio and more so to achieving the Philippines’ energy transition targets,” Aboitiz Renewables president Jimmy Villaroman said.

The project, Villaroman added, reflects the group’s organization-wide focus on accelerating its energy transition efforts.

BPI financing coverage

BPI said its financing will cover the project’s engineering, construction, operation, and maintenance phases, aligning with its role as a key player in sustainable finance.

The Olongapo solar facility is expected to bolster the country’s renewable energy capacity and support the government’s goal of increasing the share of clean energy in the national power mix.