Bank of the Philippines backs ThomasLloyd solar expansion

The $12m deal marks the bank's first utility-scale solar power plant transaction.

The Bank of the Philippines (BPI) has agreed to provide San Carlos Solar Energy (SaCaSol), the Philippine solar holding company owned by Germany-based investment firm ThomasLloyd through its SICAV-SIF-Cleantech Infrastructure Fund, with a third installment representing an additional PHP 500 million ($12 million; 10.7 million) to finance further solar power station construction. With this transaction, BPI will have provided a total of PHP 1.5 billion since July 2014 to the company.

The financing facility, which follows ThomasLloyd’s investment in three solar plants with total generating capacity of 41 megawatts (MW) on Island de Negros in December last year, will be used to help the assets meet the completion deadline of June 2015. The deal marks the bank's first “utility scale” solar power plant transaction.

“BPI is pleased to support SaCaSol and ThomasLloyd who have been trailblazers in solar renewable energy in the Philippines. This transaction highlights the bank’s commitment to supporting power generation in an environmentally friendly manner,” commented Daniel G. Montecillo, head of BPI’s corporate client segment group.

“BPI’s involvement will significantly advance the development of renewable energy in the Philippines, thereby contributing towards a form of energy based on sustainability, energy security and efficiency,” explained T.U. Michael Sieg, chairman and chief executive of the ThomasLloyd Group.

The South-East Asian nation’s first 22MW solar power plant, which was developed and financed by the ThomasLloyd Group, was switched on during in a ceremony presided over by State President Benigno Aquino III in May last year. A further 102MW of solar capacity for Negros is either in construction or due to start construction during 2015. 

ThomasLloyd currently has a total of 14 power stations, which represents the largest portfolio of renewable energy projects in the Philippines.