- CREC has bagged debt financing from Filipino bank RCBC to speed up the installation of its solar project in the Philippines
- Initial tranche of PHP 9 billion will go to support a minimum of 600 MW DC and a maximum of 1 GW solar capacity
- Subsequent proceeds, estimated to go up to PHP 20 billion, will help it fund additional renewable energy projects in its portfolio
The Philippines-based renewable energy developer Citicore Renewable Energy Corporation (CREC) has announced raising debt financing of PHP 9 billion ($158 million) from Rizal Commercial Banking Corporation (RCBC) to support its solar energy portfolio.
As against the per-project based conventional project financing structure prevalent in the Philippines, CREC says this deal, with its multiple project portfolio backing, is the first-of-its-kind project financing in the country.
The RCBC arranged financing forms the 1st tranche of what may eventually reach up to PHP 20 billion ($351 million) in funding, the Filipino company stated.
CREC plans to deploy the initial funding amount to fund multiple solar PV projects with a combined capacity of a minimum 600 MW DC. It can scale up to approximately 1 GW of solar energy capacity.
These solar plants in CREC’s portfolio are located in Batangas, Pampanga, and Negros Occidental. The company called this portfolio integral to its target to achieve 1 GW of ready-to-build/under construction solar energy capacity per year over the next 5 years.
It targets to start the 1st and 2nd phases of the Negros Occidental project in September 2024 and 2025, respectively. The remaining capacity will be realized in 2 phases each for Batangas and Pampanga projects in December 2024 and 2025, respectively. CREC had previously started construction of a 680 MW solar power plant in Batangas to be realized in 2 phases (see 680 MW Philippines Solar Plant Enters Construction).
CREC said it plans to deploy subsequent proceeds from RCBC to complete additional solar power projects in its portfolio. A wholly-owned subsidiary of Citicore Power, CREC currently operates 10 solar power plants and micro-grid rooftop solar systems with a combined 285 MW DC capacity in the Philippines. It also calls itself the 1st agrosolar-social renewable energy generating company in the Asian nation as it explores agrivoltaic projects here.
