Lopez-led First Gen Corporation will be supplying power generated from a renewable energy resource to at least four upscale township and office-tower developments of real estate leader Megaworld Corporation.
The power supply agreement, which is under the ambit of Retail Competition and Open Access (RCOA) policy in the restructured electricity sector, was inked between First Gen subsidiary Green Core Geothermal Inc., which is a licensed retail electricity supplier (RES); and Alliance Global Inc., the parent firm of Megaworld.
Under the cemented deal, First Gen will have to supply 6.17 megawatts of geothermal power to the specified building-developments of Megaworld; namely Uptowns 1,2 and 3; as well as its flagship Alliance Global Tower in Fort Bonifacio.
According to Carlos Lorenzo L. Vega, vice president of First Gen Corporation, Megaworld’s preference in securing power supply from RE had been “driven consciously by their senior management and that fact that their own customers are asking that they source their power from RE.”
He added that a for real estate firm-customer like them, “the power rate has to be competitive and cost effective,” albeit he qualified that many corporates at this point are already giving weight on the sources of their power supply – and RE has already been flourishing as a choice, even for property developers.
The power to be supplied to Megaworld will be from the geothermal facilities of the Lopez group – and the contract will be for two years starting March 26, 2021.
Ricky Carandang, vice president and head of corporate communications of First Gen, stated that the Lopez firm “readily agreed to partner with Megaworld because the property firm and AGI share with First Gen and the Lopez group common goals that include promoting sustainable, affordable and clean energy and campaigning against climate change.”
The Lopez group is a corporate-champion on the RE development sphere in the energy sector as well as in the deployment of clean energy technologies, like gas. And on the offer of RE-capacity to clients, the conglomerate is also taking the forefront on this initiative.
Carandang further said “like our parent firm First Philippine Holdings Corporation, we recognize the risks that we humans are all facing from climate change due to the continued buildup in the atmosphere of heat-trapping greenhouse gases, including those from power plants using carbon-intensive fossil fuel.”
Megaworld, as one of the country’s biggest property-developer firms, has diverse portfolio ranging from residential condominiums, subdivision lots and townhouses, malls, hotel brands as well as office-towers.
First Gen, for its part, has 3,492 megawatts of power generation capacities that are mainly leaning on RE and gas technologies.