Binay signs 9-year clean energy pact

Makati has become the first local government unit in the Philippines to achieve 100 percent renewable energy utilization for its facilities, the Energy Regulatory Commission (ERC) announced.

Mayor Nancy Binay accepted a Certificate of Recognition from ERC chairperson and CEO Atty. Francis Saturnino C. Juan on 19 March. The recognition followed the signing of a nine-year Renewable Energy Supply Agreement between the city and ACEN Corp., which facilitates the full transition of all city-managed infrastructure to clean power.

Under the agreement, 154 city facilities — including the New Makati City Hall, Ospital ng Makati, and the University of Makati — will shift from conventional electricity to renewable sources.

The energy will be drawn from ACEN’s solar, wind and geothermal plants, representing a combined load of nearly 10 megawatts.

Binay said the initiative aligns with the United Nations Sustainable Development Agenda and serves as a strategic move against global energy uncertainties.

“At a time when global uncertainties, including ongoing conflicts in the Middle East, continue to put pressure on power prices, this partnership is both timely and strategic,” Binay said. “It strengthens our energy security while reducing the impact of rising costs of electricity on the city’s resources.”

The city projects a total savings of approximately P300 million over the life of the contract through guaranteed discounts on prevailing utility generation charges. Environmentally, the transition is expected to prevent 289,885 metric tons of carbon emissions, a figure officials say is equivalent to removing 62,000 cars from the road.

As part of the partnership, ACEN will install 19 electric vehicle charging stations at city facilities at no cost to the local government. These stations will be powered by the same renewable supply to support Makati’s fleet of electric jeepneys, buses and shuttles.

Binay expressed hope that the city’s transition would serve as a “proof of concept” for other urban centers in Southeast Asia.

“If the most urbanized, most densely populated financial district in the country can run on renewable energy, then other cities will also be inspired to try,” she said.