The Department of Energy and Mainstream's Groundbreaking Partnership"

SOURCE: Department of Energy (DOE)

In an unprecedented move, the Department of Energy (DOE) has inked Wind Energy Service Contracts (WESCs) with Mainstream Renewable Power (Mainstream). This landmark agreement signifies the development of two massive onshore wind projects in Luzon and Visayas. What makes this partnership truly monumental is the fact that Mainstream is the first 100 percent foreign-owned company to develop the country's indigenous and renewable energy sources.

These projects pack a powerful punch, boasting a combined capacity of 440 megawatts (MW). The two projects in focus are the 100 MW Santa Ana Cagayan Wind Project and the 340 MW Panaon Wind Project on Panaon Island in Leyte. Each WESC is set to have a 25-year operating period, a testament to Mainstream's long-term commitment to the Philippines.

Mainstream is no stranger to the renewable energy space. As a leading pure-play renewable energy company, it has wind and solar assets across global markets, including in Latin America, Africa and Asia-Pacific. This partnership represents Mainstream's first wholly owned onshore wind service contracts in the Philippines.

The contract signing was a momentous event, witnessed by Energy Secretary Raphael P.M. Lotilla and Norwegian Ambassador to the Philippines Christian Lyster. This marks a significant stride in the Marcos Jr. Administration's goal to develop the country's indigenous and renewable sources of energy, especially following the lifting of foreign ownership restrictions on renewable energy development.

Mainstream's General Manager for Asia Pacific, Mr. Eduardo Karlin, expressed his commitment to the Philippine market. He shared that these contracts represent an important milestone for Mainstream, signaling their intention to grow their development footprint across the Philippines. Karlin also emphasized Mainstream's readiness to assist the government in reaching their targets of 35 percent renewable energy by 2030 and 50 percent by 2050.

Mainstream has been a significant presence in the Philippines since 2017, supported by a robust technical and commercial development team. They have an existing partnership with Aboitiz Power Corporation to develop a 58 MW onshore wind project in Camarines Sur. This project is slated to commence construction in late 2024 and is expected to begin commercial operation in 2026.

With the Philippine economy now thriving, marked by robust growth and optimistic forecasts, the response of foreign and local investors to pour capital into the country's renewable energy sources has been overwhelmingly positive. Mainstream's financial muscle and technological prowess, coupled with the country's world-class workers, promise a bright future for these projects and the communities they will serve.

Norwegian Ambassador Christian Lyster expressed his pleasure at seeing Mainstream leverage DOE’s efforts in facilitating favorable conditions for renewable energy development in the Philippines. He stressed Norway's commitment to the Philippines in its shift to renewable energy.

To date, the DOE has issued 21 WESCs to foreign-owned companies/developers, 4 of which are for offshore wind while 17 are for onshore wind. Some of these companies are owned or partly owned by developers in European countries such as Denmark, Belgium, France and The Netherlands.

This partnership between the DOE and Mainstream signifies a new era for onshore wind energy in the Philippines. It represents a significant milestone in the country's commitment to renewable energy and sets the stage for future collaborations with 100 percent foreign-owned companies. The winds of change are blowing, and they are bringing with them an era of sustainable growth and development.