AC Energy takes control of pioneering wind farm

MANILA, Philippines – AC Energy Holdings Inc., the power investment arm of the Ayala Group, has taken control of the project company operating the 52-megawatt (MW) wind farm in Bangui, Ilocos Norte, further deepening its roots in the renewable energy (RE) sector.

AC Energy has acquired an additional 17.79 percent stake in NorthWind Power Development Corp. through its wholly owned subsidiary Presage Corp., Ayala Corp. told the Philippine Stock Exchange yesterday.

NorthWind owns and operates the 52-MW Bangui wind project, the first commercial wind farm in the country and in Southeast Asia.

“Our partners offered to sell a portion of their holdings, and we believe that it is a good investment from AC Energy’s point of view,” AC Energy president and CEO John Eric Francia said in a text message.

Following the acquisition, AC Energy has increased its ownership interest in NorthWind from 50 percent to 67.79 percent. The NorthWind founders own the remaining 32.31 percent.

It was in 2011 when AC Energy—then Michigan Power Inc.—first partnered with NorthWind founders with a 50 percent stake. The other 50 percent were held by Ferdinand Dumlao (chairman) with 21.14 percent, Niels Jacobsen (president and CEO) with 27.98 percent and Jose Ildebrando Ambrosio (corporate secretary) with 0.88 percent.

AC Energy’s higher stake in NorthWind allows it to realize its growth potential as it eyes more RE investments in its portfolio, Francia said.

“The company has meaningful growth potential as we expand our investments in renewable energy,” he said.

Apart from the 52-MW wind farm, NorthWind also has a renewable energy service contract for a wind energy project in Aparri, Cagayan.

AC Energy currently has three RE projects, namely the NorthWind project, the 81-MW wind farm in Pagudpud, Ilocos Norte through its affiliate North Luzon Renewable Energy Corp. (NLREC) and the 18-MW solar plant in Negros Oriental, which is a joint undertaking with Bronzeoak Clean Energy Inc.

These projects account for 10 to 15 percent of its total attributable capacity of 1,088 MW, bulk of which are still mostly from coal-fired power plants.

By 2020, AC Energy targets to double its attributable capacity to 2,000 MW, closing the gap between fossil fuel and RE.