Top Energy Conglomerates Join Race for Meralco’s 200 MW Clean Power Contract

Leading Philippine energy conglomerates are preparing to compete for Manila Electric Co.’s (Meralco) 200-megawatt (MW) renewable energy supply contract, set for delivery between 2026 and 2030.

Among those that joined Meralco’s recent pre-bid conference were Ayala-led ACEN Corp., SanMar Solar, Negros Island Solar Power, and Sinocalan Solar Power. The Lopez Group was represented by BacMan Geothermal, Energy Development Corp., First Gen Hydro, and Greencore Geothermal. San Miguel Corp. also signaled interest through subsidiaries such as Mariveles Power Generation, GNPower Kauswagan, GNPower Mariveles Energy Center, and Sual Power.

Aboitiz Power’s renewable and thermal units—AP Renewable Energy, Therma Luzon, and Therma Visayas—are likewise eyeing participation in the four-year supply deal. The companies’ involvement underscores intensifying competition among major generation players as the country accelerates its energy transition.

Bidding Process

Meralco said it launched the competitive selection process (CSP) after receiving a certificate of conformity from the Department of Energy (DOE) on December 4.

“This CSP is consistent with Meralco’s ongoing efforts to expand its supply portfolio sourced from renewable energy sources whilst securing Meralco’s RPS compliance through a competitive and transparent bidding process,” said Jose Ronald Valles, senior vice president and head of regulatory management.

The bidding forms part of Meralco’s DOE-approved Power Supply Procurement Plan and is being conducted in accordance with DOE’s 2023 CSP policy and the Energy Regulatory Commission’s (ERC) implementing guidelines. Eligible participants include electric cooperatives, distribution utilities, and retail electricity suppliers.

Renewable Certificates And Compliance Targets

While some interested generators still operate coal facilities, Meralco clarified that participants may meet the renewable requirement by supplying Renewable Energy Certificates (RECs), or tradable instruments representing electricity generated from clean energy sources. 

These certificates can be bought or sold on the renewable energy market to fulfill the DOE’s Renewable Portfolio Standards (RPS), which currently require utilities to source at least 11% of their sales from renewables.

The RPS mandate increases by 2.52% annually, gradually tightening compliance obligations for distribution utilities. Meralco said it has already secured 1,535 MW of renewable capacity from various suppliers, surpassing its initial 1,500-MW target. 

The company expects renewable energy to account for about 26% of its total supply portfolio by 2030, reflecting a strategic shift toward cleaner power.

Diversified Energy Mix

Meralco’s move aligns with national goals to boost the share of renewables to 35% of the generation mix by 2030 and 50% by 2040. The auction adds momentum to the distribution utility’s efforts to balance its portfolio between established thermal sources and growing renewable capacity.

As the country’s largest power distributor, Meralco serves Metro Manila, Bulacan, Cavite, Rizal, and nearby provinces. Its latest procurement initiative signals continued private-sector engagement in the country’s transition to a low-carbon power system, anchored on transparent bidding, competitive pricing, and compliance with evolving energy standards.

Source:

https://business.inquirer.net/569024/meralco-bid-out-for-200mw-supply-draws-big-guns

https://business.inquirer.net/564545/meralco-to-procure-200-mw-renewable-energy

https://mb.com.ph/2025/08/04/meralco-acquires-20-year-biogas-power-supply