Korea Electric Power Corp. (KEPCO) announced on Dec. 11 that it acquired a 38% stake in Calatagan Solar Power Plant (50MW) owned by Solar Philippines, the largest solar power generation company in the Philippines. In addition, the two companies signed an MOU on additional business cooperation.
KEPCO also signed a long-term contract to sell electric power produced from the power plant to a state-run power distribution company in the Philippines. KEPCO expects to post 318 billion won (US$281.7 million) in total sales over the next 18 years from the project.
This project is the fifth power generation project that KEPCO undertakes in the Philippines, following the Malaya Power Plant (heavy oil), Ilijan Power Plant (gas and oil), Naga Power Plant (gas), and Cebu Power Plant (coal). But this marked the first time that KEPCO had advanced into the Philippine market in the new and renewable energy business.
“KEPCO will sharpen its competitiveness in the Southeast Asian new and renewable energy market in the future,” KEPCO president Kim Jong-kap said during a signing ceremony. “KEPCO will become a general power generation company engaged in the traditional thermal power generation business as well as the new and renewable energy business and smart power grid business."
Meanwhile, Kim met with Alfonso Cusi, energy secretary of the Philippines, and requested cooperation on KEPCO’s projects in the Philippines to generate thermal power, build a smart power grid and a micro grid, and boost distribution voltage.