Nexif Energy signs a power supply agreement for a 75 MWp project in the Philippines

The Calabanga project is expected to be operational by the end of 2022. Image: Endesa.

Independent power producer Nexif Energy has secured a ten-year Power Supply Agreement (PSA) for a 75 MWp solar power plant to be built in the Philippines.

The deal will see SN Aboitiz Power (SNAP), a joint venture between Philippine utility Aboitiz Power and renewable energy developer Scatec, purchase most of the electricity and green certificates generated by Nexif’s Calabanga solar farm in the province of Camarines Sur.

Nexif, headquartered in Singapore, said its PSA approach is a solution to support new solar deployment in the Philippines, which has reportedly been slow since the country’s feed-in tariff for new projects ended in 2016.

“This PSA with SNAP proves that well-developed renewable energy projects in the Philippines have an additional route for electricity sales by supporting electricity retailers in the contestable market,” said Nexif Energy co-CEO, Surender Singh.

Nexif has entered into EPC and O&M contracts with PowerChina Huadong Engineering Corporation and PowerChina Philippines Corporation for the construction and maintenance of the Calabanga project, which is expected to be completed in the fourth quarter of 2022.

Nexif has announced its intention to replicate its approach in Calabanga for future projects in the Philippines, such as a 150 MWp solar farm under development in the Western Visayas region.

Alan A. Seibert