PLDT Group, First Gen expand renewable energy partnership

MANILA, Philippines — The leading telco and the top renewable energy (RE) producer in the Philippines have joined forces anew to energize six network facilities across Mindanao with green power.

Manuel V. Pangilinan-led PLDT Inc. and Smart Communications Inc. recently signed a deal with the Lopez Group’s First Gen Corp. to supply 100 percent renewable power to their telco facilities.

“We are once again tapping First Gen’s geothermal energy supply to increase the renewable component of the energy mix of our critical facilities in Mindanao,” said Leo Gonzales, PLDT VP and sector head for property and facilities.

Among these is PLDT Ponciano, which houses VITRO Davao, the first data center in Davao City that serves the needs of local and foreign enterprises in the region in terms of disaster recovery, security and business continuity.

VITRO Davao is poised to become PLDT’s first data center to switch to 100 percent RE.

“This enables us to future-proof our facilities, reduce our operational expenses and support the government’s green energy option program in the region,” Gonzales said.

With this partnership, PLDT and Smart are expected to save about P23 million on energy and operational costs and reduce carbon emissions by almost 13,000 tons annually.

Carlo Vega, First Gen VP for power marketing, trading and economics, said the two firms have a mutual commitment toward decarbonization.

“We are honored to collaborate with the PLDT Group, support their transition to RE and help make their facilities more energy efficient and sustainable while providing meaningful connectivity to Filipinos,” Vega added.

This is not the first time these companies team up to boost their sustainability targets.

In May last year, PLDT and Smart tapped First Gen to harness geothermal power for their network facilities in the Visayas, which includes Cebu, Samar, Capiz and Iloilo.

Before partnering with First Gen, the PLDT Group had put up its largest rooftop solar facility in the region.

The telco giant plans to expand its sustainability initiatives to more network facilities in Metro Manila and nearby provinces within the year.

First Gen, for its part, is investing around P29.3 billion to develop and activate four geothermal and three battery energy storage system projects by the end of this year.

The company aims to increase its total RE capacity to 7,500 megawatts in the next six years in line with the government’s target to achieve an RE share of 35 percent in the energy mix by 2030.