Terra Solar Philippines Inc. (TSPI) said Tuesday it signed an engineering, procurement and construction (EPC) contract with China Energy Engineering Group Co. Ltd. (Energy China), marking a significant step in the development of the world’s largest contiguous solar and battery power plant, which is set to transform the renewable energy landscape in the Philippines.
“This signing ceremony goes beyond what it is but a commitment by Meralco and MGEN to change the energy landscape,” said Manila Electric Company chairman and chief executive Manuel Pangilinan.
“We welcome the partnership with Energy China and we are confident that we can drive this project to completion, on time and beyond expectation,” he said.
TSPI, a subsidiary of Solar Philippines New Energy Corp. (SPNEC) now controlled by Meralco, is constructing a 3,500-megawatt peak solar power plant paired with a 4,500 megawatthour battery energy storage system in Central Luzon which is estimated to provide clean energy to more than two million households.
By combining variable renewable energy from solar with advanced battery storage, Terra Solar will provide 850 MW of mid-merit, clean, and reliable energy, making it competitive with conventional power plants.
“This partnership is more than just a business deal — it is a catalyst for progress and development. Through this collaboration for Terra Solar, we aim to accelerate the nation’s energy transition journey and contribute to a cleaner, more sustainable future,” said Meralco PowerGen Corp. president and chief executive Manny Rubio.
MGEN Renewable Energy Inc. (MGreen), the renewable energy arm of MGEN, holds a controlling stake in SPNEC.
Terra Solar said its partnership with Energy China guarantees a seamless, turnkey delivery of key components for the Terra Solar project.
Energy China and its affiliates will oversee all aspects, including procurement, design, engineering, permitting, manufacturing, testing, logistics and on-site delivery, ensuring the project is executed efficiently and comprehensively.
As part of the agreement, Energy China will also provide warranty coverage, promptly address any defects and implement robust operational and maintenance protocols to ensure the project’s long-term reliability and success.
They will develop specialized training programs for local teams and collaborate closely with stakeholders to facilitate the smooth integration of the project into the national grid, including the incorporation of the BESS.
“Choosing Energy China as our EPC partner was not on a mere whim, we made sure that we have selected a company with an exceptional track record in delivering complex, large-scale renewable energy projects around the world. Energy China’s experience is unparalleled and relevant to our aspirations,” said TSI president and executive director Dennis Jordan.
Energy China is a global leader in energy and infrastructure, operating in over 140 countries and consistently recognized in the Fortune Global 500 for its significant contributions to major engineering projects like the Three Gorges Dam, the South-to North Water Diversion Project, the West-East Power Transmission Project, and the WestEast Gas Pipeline Project as well as its pioneering technologies such as advanced energy storage and ultra-high voltage systems.