MGEN unit commits PHP 8.42B to Iloilo solar

LagunaSol Corp., a subsidiary of MGEN Renewable Energy Inc., plans to invest PHP 8.42 billion in a 192-megawatt solar power project in Iloilo, adding new generating capacity to the Visayas grid as electricity demand in the region continues to rise.

The Concepcion Solar Power Project is scheduled to begin commercial operations by November 2027.

The project will cover 135 hectares in the municipality of Concepcion and will use about 300,960 photovoltaic modules.

The facility is intended to supply power to the Visayas grid, where demand is projected to grow by an average of 4.5% a year through 2030, faster than in Luzon.

The region is also expected to need an additional 1,700 MW of capacity by 2030, underscoring the need for new generation projects.

In its regulatory filing with the Department of Environment and Natural Resources, LagunaSol said it is pursuing a flexible market strategy for the project.

The company said it is positioning the facility for future rounds of the Department of Energy’s Green Energy Auction Program for the 2026–2029 delivery window, while also studying the Retail Electricity Supply route, which would allow direct sales to eligible industrial and commercial customers.

The DOE’s auction program has become a key route for adding renewable capacity, with projects under its fourth auction round due for delivery from 2026 to 2029.

LagunaSol also flagged the need for more storage to support long-term grid stability in the Visayas.

Battery energy storage requirements in the Visayas are projected to rise from 35 MW to 969 MW by 2050, according to the project description surfaced in the environmental scoping process.

Environmental baseline reviews for the proposed site found that it does not overlap with protected areas, Ramsar sites or recognized cultural heritage zones.

Earlier this year, MGEN Renewables presented Iloilo officials with a separate proposal for a 120-MW ground-mounted solar facility in Barangays Nipa and Lo-ong in Concepcion.

That proposal covered about 135.40 hectares and was planned for interconnection with the NGCP Concepcion 138-kV substation.

The proposal was discussed in a meeting with Iloilo Gov. Arthur Defensor Jr., together with representatives from MGEN Renewables, Green Dev Solutions and provincial officials.

Provincial government officials said in January that the earlier 120-MW proposal was expected to contribute more than PHP 1 million in taxes to Concepcion, pointing to the local government’s interest in attracting large-scale renewable energy investments.

The Iloilo project adds to a broader build-out of renewable energy in the Visayas, where supply has periodically come under pressure and the DOE has been pushing new capacity to improve reserves and reduce dependence on fossil fuel generation.

With commercial operations targeted for November 2027, the Concepcion project is poised to become one of the larger solar developments in Western Visayas and a test of how quickly new renewable plants can move from permitting to grid delivery.