Singapore-based Macquarie Capital committed to invest at least US$1.2 billion in the Philippines to build a 1,300- megawatt (MW) floating solar plant on Laguna Lake, touted to be the biggest of its kind in Asia.
In a simple ceremony held in Shangri-la Singapore, Oliver Lewis of Macquarie Capital signed the investment deal in the presence of the President, his economic team and several Singapore-based foreign investors.
The floating solar plant will be developed in partnership with SunAsia Energy. In June 2021, Blueleaf Energy, a 100% Macquarie Capital-owned company and SunAsia Energy signed a memorandum of agreement to co-develop 1,300 MW floating solar.
Macquarie formalized its funding commitment to construct the green infrastructure during the state visit of President Marcos in Singapore.
According to Press Secretary Trixie Cruz-Angeles, two companies with environment-friendly business model, and aligned with the government program on climate change mitigation, topped the investments secured by the President during his state visit to the Lion’s City.”
Macquarie Capital in particular vowed to support the Philippines’ goal to decarbonize the power industry.
Under the agreement, the floating solar plant to be installed on the water surface of Laguna Lake spans the cities of Calamba, Sta Rosa and Cabuyao, and the towns of Bay and Victoria.
The Philippines has recorded yellow alerts every summer due to the lack of electricity reserves. With the 1,300 MW injection of solar power into the system, rotating blackouts are expected to be mitigated, especially in the export processing zones in Laguna.
For the lakeside communities, the floating facility is expected to create 10,830 new jobs in the construction sector, and boost 1,700 jobs in the service sector, particularly during the operations and maintenance phases of the project.
The manpower figures were based on the Department of Energy’s estimate of new jobs per megawatt of solar energy developed.
According to Commercial Counsellor at the Philippine Trade and Investment Center Singapore, Atty Carla Grepo, “the investment commitment underscores this administration’s 8-point socioeconomic agenda. This floating solar project will not only aid in mitigating climate change, but also help the country economically recover from the effects of the pandemic.”
Expected to be operational by 2024, this structure in Laguna Lake will be the biggest in Asia and is poised to become an engineering wonder in the world expected to attract a significant number of scientists and academics as well as local tourists.
But as soon as construction begins, P2 billion will immediately be available to the Laguna Lake Development Authority (LLDA). These funds will be allotted to initiatives that will improve the water quality while promoting and accelerating the development and balanced growth of the Laguna Lake area and the surrounding provinces, cities, and towns.
