Maharlika, ACWA Power to develop clean energy for islands

The Maharlika Investment Corporation (MIC) has signed a landmark Memorandum of Understanding (MOU) with Saudi-listed energy firm ACWA Power to explore renewable energy and storage projects for off-grid islands in the Philippines.

The partnership aims to deliver clean, affordable, and reliable power to underserved communities not connected to the main electricity grid—advancing energy access, environmental resilience, and inclusive development.

Signed on June 30, 2025, the MOU marks a significant milestone in MIC’s mandate to generate long-term national value through strategic investments while supporting sustainable development goals.

“Our collaboration with ACWA Power will potentially open doors to transformative energy initiatives in unserved regions outside our main grid,” said Rafael D. Consing Jr., President and CEO of MIC.

“Through this MOU, we aim to jointly assess the viability of delivering clean, reliable, and cost-effective energy to island communities—creating both social impact and long-term value,” he added.

ACWA Power, a leading global developer and operator of renewable power and desalinated water projects, is 40% owned by Saudi Arabia’s Public Investment Fund (PIF) and operates across 11 Asian markets.

“We are excited to partner with Maharlika Investment Corporation in exploring renewable energy solutions for communities in the Philippines,” said Thomas Brostrøm, Chief Investment and Development Officer of ACWA Power.

“This MOU reflects our shared commitment to inclusive energy access and sustainable development,” he added.

Under the agreement, both parties will conduct technical, commercial, and financial feasibility studies to assess the development of power generation and energy storage infrastructure tailored for off-grid islands.

These studies will identify potential project sites, appropriate system sizes, transmission requirements, and offtake arrangements with local stakeholders.

The partnership will also explore co-investment opportunities and aligns with the broader push for energy security, rural development, and climate resilience in the Philippines.

Created through Republic Act No. 11954, the Maharlika Investment Corporation is the country’s first sovereign wealth fund, signed into law in July 2023 with the goal of leveraging government assets for long-term economic growth and infrastructure development.

MIC’s collaboration with ACWA Power signals its intent to channel global expertise and capital toward inclusive infrastructure projects, especially in historically underserved areas.

For the Philippines—an archipelago with over 7,600 islands, many of which lack reliable electricity—the initiative holds potential to drastically improve quality of life and local economic opportunities.

MIC has reaffirmed its commitment to investing in projects that yield both financial returns and social dividends, particularly in critical sectors like renewable energy, digital connectivity, and transport.

The MOU is expected to catalyze new energy solutions as the Philippines ramps up efforts to meet its 2030 climate goals and expand renewable energy’s share in the national power mix.