TotalEnergies and its partner Nextnorth announced on April 30 that they have reached financial close and started construction of a 440 megawatt peak (MWp) solar power plant in the City of Ilagan, Province of Isabela, Philippines. The project is owned by TotalEnergies with a 65 percent stake and Nextnorth holding the remaining 35 percent. It is expected to be operational by the end of 2027.
The project aims to produce about 13.5 terawatt-hours (TWh) over twenty years. More than half of the electricity generated will be sold through long-term agreements with Retail Electricity Suppliers AdventEnergy and PrimeRES, providing energy for commercial and industrial customers seeking to reduce their carbon footprint. The rest will be supplied to the national grid under Round 4 of the Philippine Government’s Green Energy Auction Program.
With an estimated cost of $300 million, financing for this initiative comes from three international banks: Sumitomo Mitsui Banking Corporation, ING Bank NV, and Standard Chartered. According to TotalEnergies, this represents the largest international financing for a solar project in the country so far.
Olivier Jouny, Senior Vice President Renewables at TotalEnergies said: “We are delighted with our partner Nextnorth to start the construction of this major solar project in Philippines, thereby contributing to the country’s goal of increasing renewables in its generation energy mix. These 440 MW will contribute to the 9 GW renewables portfolio that we are combining with Masdar through a 50/50 joint venture across nine Asian countries.”
Miguel Mapa, President and CEO at Nextnorth said: “Energy security has never been more relevant for the Philippines than it is today. With rising demand and continued exposure to imported fuels, the country needs domestic, scalable, and bankable renewable capacity. Working alongside TotalEnergies, we are delivering clean, reliable power that supports communities, creates jobs, and advances the Philippines’ transition toward a more energy independent future.”
Nextnorth was founded in 2022 as a renewable energy developer focused on projects within the Philippines totaling over 800 MW under development or construction. TotalEnergies reports holding nearly 36 gigawatts (GW) gross renewable generation capacity worldwide as of April.