Citicore Renewable Energy Corp. (CREC) signed a partnership with Clark Electric Distribution Corp. (CEDC) for the supply of an initial 7.5 megawatts (MW) electricity.
Under the agreement, CREC will provide electricity to CEDC’s local retail electricity supplier (LRES), Cogent Energy from CREC’s Tarlac solar power plants.
The parties added the contract will run until December 2024 or upon commercial operations of CREC’s upcoming Bato solar power plant in Palauig, Zambales.
Once the project is operational, the partnership will transition into a 10-year power supply contract which will provide 30 MW of CEDC LRES’ electricity needs.
Earlier this month, CREC secured a $100-million financing deal for its solar development vehicle, Citicore Solar Energy Corp. with Pentagreen Capital (Pentagreen), a sustainable infrastructure debt financing partnership established by shareholders HSBC and Temasek.
The funding facility structured by Pentagreen is a $100-million Mezzanine Construction Green Loan Facility with an initial tranche commitment of $30 million for a portfolio of six solar power projects with capacity of 490 MW across Luzon.
CREC said the initial funding will enable the company to allocate capital efficiently to accelerate the development of its project pipeline in line with its planned roll out of 1,000 MW of RE capacity per year in the next five years.
The initial tranche is also expected to provide funding for the construction of four greenfield projects and two more that have been recently completed. -Jed Macapagal
