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ACEN Corp. has secured nearly ₱3 billion in financing from Bank of the Philippine Islands (BPI) to advance the development of a battery energy storage facility in Zambales, strengthening the Ayala-led renewable energy firm’s push to expand its clean energy and grid-support infrastructure.
In disclosures to the Philippine Stock Exchange, ACEN said its subsidiary Palauig Solar 1 Inc. obtained a ₱2.925-billion project financing facility from BPI, with affiliate Gigasol2 Inc. participating as share collateral grantor and BPI Asset Management and Trust Corp. acting as collateral trustee.
The financing agreement, signed on June 4, will partly fund the construction of the Palauig 1 Energy Storage System (ESS), a battery facility designed to support the company’s growing solar power operations in Zambales. Part of the proceeds will also be used to refinance or repay advances previously extended by shareholders for the development of the project.
Solar Expansion
The Palauig 1 ESS is designed with a capacity of 35 megawatts (MW) and 140 megawatt-hours (MWh), allowing it to store electricity generated by solar facilities during periods of high production and discharge that energy when demand rises.
The storage system will be integrated with ACEN’s existing solar operations in the municipality of Palauig, Zambales. The company said the project will complement its operating solar facility by addressing the intermittency challenges associated with renewable energy generation.
While ACEN previously described the project as an addition to its existing 50-MW alternating current Palauig solar plant, the company also noted that the battery system will be built adjacent to and integrated with the Palauig 1 Solar Power Plant, which has been cited at 63 MW in project-related disclosures.
The battery installation is expected to be completed next year, with commercial operations targeted in the first quarter of 2027.
Energy storage systems have become increasingly important as renewable energy capacity expands across the country. The technology enables excess electricity produced during sunny or windy periods to be stored and dispatched later, helping stabilize power supply and improve grid reliability.
Investment Push
The latest financing follows ACEN’s earlier move to inject approximately P850 million into Palauig Solar 1 to accelerate the development of the battery storage facility.
The Palauig site is one of ACEN’s key renewable energy assets in the Philippines. The first phase of the solar project began operations in 2021, and the company is currently undertaking an expansion that is expected to increase capacity to 300 MW. The expansion carries an estimated investment of around ₱16 billion.
The company has also signaled a major increase in spending on energy storage infrastructure as part of its broader renewable energy strategy.
ACEN earlier announced plans to spend more than ₱80 billion this year to accelerate the rollout of additional solar and wind projects while increasing investments in battery energy storage systems that can support variable renewable energy generation.
The company views storage technology as a critical component in integrating larger volumes of renewable power into electricity networks and ensuring reliable delivery of clean energy.
Renewable Energy Portfolio
ACEN remains one of the country’s largest renewable energy developers, with more than 2,500 MW of capacity in operation and under construction in the Philippines.
Beyond its domestic market, the company has built a growing international footprint spanning Australia, India, Indonesia, Vietnam, Malaysia, the United States, and Lao PDR.
Australia continues to be among ACEN’s strongest overseas markets. The company recently secured a long-term government revenue support contract for the Birriwa Solar project, a 600-MW solar farm that will be paired with a 2,400-MWh battery energy storage system.
The company’s operational performance has also improved in recent months. After reporting a sharp decline in earnings in the previous year, ACEN posted a stronger start to 2026, with first-quarter net income rising 50 percent to ₱2.9 billion.
Renewable energy generation from its Philippine assets climbed 29 percent to 626 gigawatt-hours (GWh) during the January-to-March period. Its Australian operations posted an 87-percent increase in output to 528 GWh, while attributable generation from India remained steady at 231 GWh. Other international markets contributed 279 GWh of attributable generation during the quarter.
The new financing for the Palauig battery storage facility underscores ACEN’s continued focus on expanding renewable energy capacity while investing in technologies that can improve power reliability and support the country’s transition to a cleaner energy mix.
Source:
https://business.inquirer.net/593800/acen-unit-seals-p2-9-b-loan-for-energy-storage-asset