ACEN earnings rise by 59 percent

MANILA, Philippines — ACEN Corp. the energy platform of the Ayala Group, grew its earnings by more than half in the nine months ending September on the back of higher revenues and gains from the sale of a stake in the Salak and Darajat geothermal plants in Indonesia.

ACEN’s consolidated net income reached P6.6 billion from January to September, 59 percent higher year-on-year.

Revenues during the period rose by 13 percent year-on-year to P28.6 billion due to higher retail customer tariffs and the ramp-up of New England Solar in Australia and Pagudpud Wind in the Philippines.

Core operating earnings, which represents the company’s attributable share of income from operating units, doubled year-on-year with new operating capacity across the global portfolio and the shift to a net selling merchant position in 2023.

Operating earnings for the third quarter alone recorded a decline from the previous quarter with scheduled plant maintenance and expected seasonally low wind and Wholesale Electricity Spot Market prices with the onset of the rainy season.

ACEN, however, maintained its net merchant selling position with the continued addition of new operating capacity.

The company’s attributable renewables output expanded by 27 percent to 3,174 gigawatt hours (GWh) for the nine-month period as the company continued to add new operating capacity in its global portfolio.

Renewables generation from ACEN’s Philippine operations rose by 29 percent to 769 GWh with the continued commissioning at the 44-megawatt (MW) second phase of the Arayat-Mexico solar farm and the 160-MW Pagudpud wind farm, which is the largest in the country.

Its international portfolio, on the other hand, generated 2,405 GWh, up 27 percent year-on-year, as New England Solar in New South Wales, Australia nears full capacity.

Contributing to output in the third quarter were the 420-MW Masaya solar farm in India, and the 287-MW first phase of ACEN’s acquisition of 49 percent of Solar NT in Vietnam, a joint venture with Thailand’s SUPER Energy.

“The company continues its healthy growth trajectory, notwithstanding delays in the major renewable projects,” ACEN president and CEO Eric Francia said.

Francia said ACEN hopes to begin commercial operations of around 700-MW of solar and wind projects in the Philippines before the summer of 2024.

ACEN currently has a diversified portfolio of 4.4 gigawatts (GW) in renewables, with 38 percent or 1.7 GW in operation.

The company’s operating capacity is expected to grow by one GW in the next few months as New England Solar, Pagudpud Wind, and Masaya Solar reach full capacity.

“Partnerships have helped ACEN grow from a standing start to one of the region’s largest renewable energy sector players. Our ability to collaborate with a diverse range of private and public sector partners, alongside our strategic investments in enabling infrastructure, gives us confidence that we can reach our 20 GW by 2030 aspiration and help lead the global energy transition to renewables,” ACEN chief strategy officer Jonathan Back said.