MANILA, Philippines — Taisei Corporation, one of Japan’s biggest general contractors, signed on April 23 investment framework and shareholders agreements with Yuchengco-led PetroGreen Energy Corporation (PGEC) to take a 25% equity stake in PGEC’s subsidiary Rizal Green Energy Corporation (RGEC).
Founded in 1873, Taisei Corp. is among Japan’s top 5 general contractors building ports and harbors, bridges and tunnels, power stations, industrial complexes and commercial buildings in over 65 countries. In fiscal year 2022, Taisei Group recorded total net sales of $12.3 Billion.
The investment covers the funding, construction, and operation of an initial portfolio of four solar power facilities, including the 41MWdc Limbauan project in Isabela, the 25MWdc Bugallon project in Pangasinan, the 19.6MWdc San Jose project in Nueva Ecija and the 27MWdc Dagohoy solar project in Bohol.
Although Taisei Corp. has been in the Philippines since 1982 operating as a general contractor mostly on official development assistance (ODA)-funded infrastructures, the partnership deal with the Yuchengco-led firm is its first equity investment in renewable energy (RE) outside Japan.
Taisei Corp. Executive Vice President Jiro Taniyama declared, “We are very pleased to be able to contribute to renewable energy in the Philippines, which is experiencing remarkable development, and more importantly, to participate in this project as a business partner with PGEC. We are looking forward to the synergies that this project will generate in the business of TAISEI and PGEC led by the Yuchengco Group.”
PGEC Chair Milagros Reyes remarked, “We are honored that Taisei Corp. has chosen the Philippines to make its first overseas equity investment in RE. Following on the 2022 partnership we forged with Kyuden International Corp. (KIC), Taisei’s entry not only validates PGEC’s performance and integrity as an RE developer and partner but also testifies to the vastly improved energy investment climate in the country under the present administration.”
PGEC Board Director and KIC Asia Division Managing Director Keichi Niinuma added, “Kyuden and Taisei have worked well together in Japan and we are delighted that we are extending this collaboration as equity partners in the Philippines with YGC.
Combining Taisei’s engineering and construction expertise with Kyuden’s and PGEC’s experience in the Philippine energy market and regulatory environment, we hope to explore other RE opportunities such as hydropower, floating solar, energy storage and efficiency and others to boost the Philippines’ transition to a net-zero future.”
Editor’s Note: This press release is sponsored by PetroGreen Energy Corporation. It is published by the Advertising Content Team that is independent from our Editorial Newsroom.