MANILA – President Ferdinand R. Marcos Jr. on Tuesday said the MTerra Solar Project, the world’s largest operational integrated solar-and-battery facility on a single site, will help shield the Philippines from global energy shocks by reducing dependence on imported fossil fuels and strengthening the country's long-term energy security.
Leading the inauguration of Phase 1 of the project in Nueva Ecija, Marcos said the facility mirrors the government’s push to diversify the country's energy sources at a time when global fuel markets remain vulnerable to geopolitical conflicts, including the recent escalation of tensions in the Middle East that triggered fresh spikes in world oil prices.
Marcos noted that coal still accounted for 57 percent of the country's electricity generation last year, while renewable energy contributed only about 25 percent.
“Such an energy mix leaves us more vulnerable to fluctuations in global fuel prices and developments in the international market, as we have experienced in the last few months,” Marcos said.
“It underscores the importance of diversifying our energy sources and how we must be committed to moving that mix in the direction to favor renewables,” he added.
Recognizing the risks posed by heavy reliance on imported fuel, Marcos said the administration has accelerated investments in renewable energy to build a more resilient and reliable power system.
“This MTerra Solar Project stands as one of the clearest expressions of that commitment,” the President said.
Developed by Terra Solar Philippines Inc., an affiliate of Meralco PowerGen Corp., in partnership with global infrastructure investor Actis, the project spans five municipalities across Nueva Ecija and Bulacan.
Phase 1 has already energized 1,373 megawatts (MW) of solar photovoltaic capacity and 825 MW of battery energy storage.
Earlier this week, the Department of Energy (DOE) announced that the National Grid Corporation of the Philippines had cleared an initial 750 MW of capacity for testing and commissioning, allowing electricity from the project to begin flowing into the Luzon grid.
Marcos said Phase 1 has reached about 91 percent completion and is expected to begin full commercial operations by August, while Phase 2 is targeted for completion next year.
Once fully operational, the project will deliver up to 3,500 MW of solar power supported by 4,500 megawatt-hours of battery storage, enough to supply clean electricity to around 2.4 million households.
The facility is also expected to generate more than 10,000 jobs, reduce carbon emissions by about 4.3 million metric tons annually, and produce nearly PHP23 billion in economic benefits over the next decade.
“These capabilities will help strengthen the stability of our power system, while expanding the role of clean energy in our power generation mix,” Marcos said of the project.
Marcos said the project forms part of broader efforts to modernize the country's energy sector.
From July 2022 to May 2026, the DOE awarded 605 renewable energy service contracts, according to the President.
The government has also increased installed battery energy storage capacity from 93 MW in July 2022 to 845 MW as of May this year, and launched a 10-year Green Energy Auction Program that seeks to deliver 25 gigawatts of additional renewable energy capacity beginning in 2027.
“These initiatives demonstrate that securing our future energy requirements means building the institutions, the systems, and partnerships that allow investments to serve the Filipino people for many generations to come,” Marcos said. (PNA)
