AboitizPower Launches P7.6-Billion Solar Expansion in Zambales
- December 18, 2025
Aboitiz Power Corp. is accelerating its solar energy footprint in Central Luzon with the proposed development of a P7.6-billion solar farm in Olongapo City, Zambales. The expansion, known as the Olongapo Solar Power Project Phase 2, is set to deliver around 179.26 megawatts (MW) of capacity and reinforce the company’s role in the country’s RE transition.
AP Renewable Energy Corp. (APREC), a subsidiary of Aboitiz Renewables Inc., disclosed in a filing with the Department of Environment and Natural Resources (DENR) that the project will cover nearly 229 hectares in Olongapo. The site, accessible via the Subic-Clark-Tarlac Expressway and about 70 kilometers from Clark International Airport, has been carefully chosen for its strategic location and solar potential.
“The proposed solar power project is fully aligned with the Philippines’ renewable energy transition, directly supporting the national shift toward cleaner, more sustainable energy sources,” AP Renewable stated in its filing. Construction is expected to commence as early as the second quarter of 2026, with commercial operations targeted for the first quarter of 2028. Public scoping for the project’s environmental impact assessment was done in November.
The planned investment covers a range of activities, including full-scale design and engineering, land preparation, construction, equipment acquisition, and environmental management. At the peak of construction, the project is expected to require around 1,000 workers, while an average of 200 personnel will be employed on normal operational days.
This new phase builds on AboitizPower’s ongoing work in the region. The first phase of the Olongapo Solar Project, launched earlier this year, was designed to generate 221 MW. With Phase 2 added, the combined output will make the Olongapo development the largest solar project under Aboitiz Renewables to date. In September, the company secured a P7.4-billion project financing deal with the Bank of the Philippine Islands to fund construction and operations for the first phase, demonstrating strong financial backing for its RE ventures.
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Solar leads growth momentum
AboitizPower’s commitment to scaling solar energy extends well beyond Zambales. Leo Lungay, vice president and general manager for the group’s solar and wind business unit, said Aboitiz Renewables is in “growth mode,” especially in the solar segment. “We are exploring anywhere in the Philippines,” he stated during a briefing in Bugallon, Pangasinan.
The company currently operates close to 532.19 megawatt peak (MWp) of solar capacity across six facilities: one in Tarlac, two in Negros Occidental, and three in Pangasinan. Among these is the 75-MW Cayanga-Bugallon solar farm, situated on a 182-hectare mountain site, highlighting the company’s ability to leverage diverse geographic conditions for energy production.
Two additional solar farms—one in Pangasinan and another in Olongapo—are under construction. Once energized, expected before the end of the year, these projects will add a combined 313.64 MWp to the company’s renewable portfolio.
While solar currently represents only a portion of AboitizPower’s overall clean energy output, which exceeds 1,965 MW including hydropower, Lungay emphasized that solar remains the “front-runner … in terms of growth initiative and growth numbers.”
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Diversified RE portfolio
The company is actively pursuing a range of other renewable technologies, including wind, floating solar, hydro, geothermal, and energy storage systems, with a combined planned capacity of 3 gigawatts (GW). Lungay confirmed that Aboitiz Renewables has already set target capacities for upcoming solar projects, although specific figures were not disclosed. “It will inevitably grow,” he said, signaling the company’s long-term commitment to expanding its solar footprint.
By 2030, Aboitiz Renewables aims to achieve 4.6 GW of total capacity, positioning the firm as a leading force in the Philippine clean energy sector. The Olongapo expansion contributes directly to national goals of increasing renewables’ share in the power mix to 35% by 2030 and 50% by 2040, while also providing employment opportunities for local communities and bolstering economic activity in host regions.
With solar poised as the key driver of growth, AboitizPower demonstrates how strategic planning, targeted investments, and technological innovation can scale RE capacity while supporting the Philippines’ broader energy transition goals. As both phases of the Olongapo project come online, the combined output will not only enhance grid stability but also cement AboitizPower’s role as a major contributor to the country’s sustainable energy future.
Sources:
https://business.inquirer.net/533815/aboitiz-power-keen-on-scaling-up-solar-capacity
