Regional Power: ACEN, GenZero, and Keppel sign MOU to retire coal plant in the Philippines

By Romel S. Gurky

Philippine power firm  ACEN has recently signed an MoU with Singapore firms GenZero, and Keppel Ltd to accelerate the retirement of the South Luzon Thermal Energy Corporation (SLTEC) coal-fired power plant in Batangas, Philippines. The partnership aims to replace the 246 MW coal plant with a clean energy dispatch facility by 2030, ten years ahead of its original schedule.

The initiative, which will utilize Transition Credits (TCs) to finance the project, marks one of the first global efforts to convert a coal-fired power plant into a clean energy facility. The project, supported by the Rockefeller Foundation's Coal to Clean Credit Initiative and the Monetary Authority of Singapore's Transition Credits Coalition, is seen as a model for coal-to-clean transitions in Southeast Asia and beyond.

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The signing of the MOU was witnessed by high-profile officials, including Singapore’s Minister for Sustainability and the Environment, Grace Fu, and the Philippines’ Secretary for the Department of Environment and Natural Resources, Maria Antonia Yulo-Loyzaga. Leaders from ACEN, GenZero, and Keppel emphasized the significance of this collaboration in driving a just and orderly transition to clean energy in the region.

The project will also explore the integration of a mid-merit Integrated Renewables and Energy Storage System (IRESS), combining solar energy with battery storage to replace the base load previously supplied by the coal plant. 

Editing by Alexander Ginting