MANILA, Philippines – Solar Philippines is pouring in around $100 million this year to build the first phase of its solar panel production facility in Batangas, its top official said.
In a text message, Solar Philippines president Leandro Leviste said its Batangas facility, which can produce solar panels equivalent to two gigawatts (GW), costs over $1 billion.
“The total two GW will cost over $1 billion, but the first phase this year will be around just a tenth of that amount,” he said.
The company announced Wednesday it would build one of the world’s largest solar factories located in Tanauan, Batangas in a period of three years.
The first section of the facility is targeted to be operational by end-2016.
Solar Philippines has began the procurement process for manufacturing equipment to start building the facility in the third quarter of this year.
Leviste said the investment comes after a shift in production from China to Southeast Asia.
Solar panels to be produced in the factory will initially be used by Solar Philippines’ own projects and later as exports to the US and Europe.
With the new production hub, the company aims to lower panel costs, take control of the supply chain, and support the new administration’s agenda to bring manufacturing to the Philippines, Leviste said.
Solar Philippines has so far put up solar rooftop installations in major malls, including SM North EDSA, SM Mall of Asia, and the latest, Robinsons Starmills.
The company is also into large utility scale solar farms. It has recently completed a 63.3-MW solar farm in Calatagan, Batangas.
It is working on new projects in Luzon and Mindanao to reach a portfolio of 500 MW by 2017.