MGen inks supply deals with D&L affiliate

MANILA, Philippines — Pangilinan-led Meralco PowerGen Corp. (MGen) has signed two power supply deals with energy retailer EvoEnergi, an affiliate of listed D&L Industries Inc.

Under the newly signed contracts, MGen will provide a diverse mix of energy sources, including renewables, to EvoEnergi, enabling the latter to offer competitively priced power to its clients.

The supply is enough to power 62,000 households from both renewable and thermal facilities, MGen said.

“By combining conventional and renewable sources, we are helping meet the evolving needs of the retail electricity market while supporting the country’s transition to a cleaner and more secure energy future,” MGen president and CEO Emmanuel Rubio said.

The agreement expands MGen’s presence in the green energy space and helps EvoEnergi enhance its supply portfolio while meeting its renewable portfolio standards (RPS) obligations.

A market-based policy, RPS mandates power suppliers to source an agreed portion of their supply from eligible renewable energy facilities.

“With our expanding customer base, this partnership provides access to a more diversified and sustainable energy supply. It solidifies our shared commitment to sustainability and forging a better future for the Philippines,” D&L president and CEO Alvin Lao said.

Although new to the industry, EvoEnergi is one of the first power retailers in the Philippines to implement the government’s retail aggregation program.

RAP enables multiple power end-users within the same franchise area to aggregate their demand to meet the 500-kilowatt threshold required to contract their preferred energy supplier.

MGen, meanwhile, is the power generation arm of the Meralco Group, boasting a combined net sellable capacity of 4,953 megawatts from traditional and renewable sources as of end-May this year.

The company is capable of supplying baseload, intermediate, peak load and ancillary support to the grid.