Chinese firm bags contract for Terra Solar development

SPNEC and Meralco chairman Manuel V. Pangilinan (center) leads the signing of the EPC contract between Terra Solar Philippines Inc. and China Energy Engineering Group Co. Ltd. for the development of the world’s largest solar farm.

MANILA, Philippines — The development of the world’s largest solar farm has taken a major leap forward with the award of a construction contract to China Energy Engineering Group Co. Ltd.

SP New Energy Corp. (SPNEC), through Terra Solar Philippines Inc. (TSPI), recently signed an engineering, procurement and construction (EPC) contract with Energy China for a portion of the $4-billion Terra Solar development.

The project, covering a 3,500-hectare land in Nueva Ecija and Bulacan, consists of 3,500 megawatts of solar panels and 4,000 MW hours of battery energy storage system components.

The deal is expected to ensure a seamless, turnkey delivery of major components for the project, with Energy China and its affiliates overseeing all aspects, including design, permitting, manufacturing, testing and logistics.

“We welcome the partnership with Energy China, and we are confident that we can drive this project to completion on time and beyond expectation,” SPNEC and Meralco chairman Manuel V. Pangilinan said.

Under the contract, the Chinese firm will also provide warranty coverage to immediately address any defects and implement robust operational and maintenance protocols, ensuring the project’s long-term reliability.

Energy China, which operates in over 140 countries, will also conduct specialized training programs for local teams and work closely with stakeholders to facilitate the smooth integration of the project into the national grid.

“This partnership is more than just a business deal; it is a catalyst for progress and development,” said Emmanuel Rubio, president and CEO of Meralco PowerGen Corp., which holds a controlling stake in SPNEC via MGen Renewable Energy Inc.

Through this collaboration with Energy China, Rubio expects Terra Solar to accelerate the country’s transition toward a “cleaner, more sustainable future.”

“Choosing Energy China as our EPC partner was not on a mere whim; we made sure that we had selected a company with an exceptional track record in delivering complex, large-scale renewable energy projects around the world,” TSPI president and executive director Dennis Jordan said.

The Terra Solar project will be completed in phases, with the first phase by 2026 and the second phase by 2027.

As of end-September, the project had achieved a 73-percent completion in overall development, marking key progress in transmission line right-of-way, permitting process and equipment procurement.

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