Meralco-led consortium spending P6.3 B for New Clark City project

MANILA, Philippines — Manila Electric Co. (Meralco) and its partners expect a total investment of over P6 billion for the entire 25-year power distribution services in New Clark City in Tarlac.

Meralco said the total estimated amount of investment for 25 years is seen to reach P6.3 billion.

This covers the financing, design and engineering, establishment, construction, development and operation and maintenance of the electric power distribution system in New Clark City for an initial period of 25 years, renewable for another 25 years.

The amount is subject to the capital expenditure (capex) approval of the Energy Regulatory Commission (ERC).

Earlier, Meralco senior vice president Rogelio Singson said the consortium is looking to spend around P1 billion to put up the initial facilities in New Clark City.

The initial phase will involve overhead distribution lines to serve the Southeast Asian Games in November.

Last week, the consortium composed of Meralco, Marubeni Corp., The Kansai Electric Power Co. Inc. and Chubu Electric Power Co. Inc. signed a joint venture agreement with the Bases Conversion and Development Authority.

Meralco will own a 60 percent equity stake in the consortium, Marubeni with 20 percent, Kansai Electric Power and Chubu Electric Power with 10 percent each.