Iberdrola has signed an agreement with Triconti ECC Renewables, the Philippines’ largest independent wind developer, sealing an option to enter five offshore wind projects with up to 3500MW capacity.
The deal, which also involves Swiss renewable energy company Stream Invest Holding, will see Iberdrola become a major, long-term renewable energy investor in the Asian country.
All projects have secured a Wind Energy Service Contract from the Philippines Department of Energy and would be jointly developed by the companies.
The alliance opens the opportunity for Iberdrola to enter a new offshore wind market in Asia which has strong growth potential over the coming decades, the company said.
The Philippines has set a target of 35% share of renewable energy in the power generation mix by 2030 and 50% share by 2040.
Iberdrola believes the Philippines is one of the most dynamic economies in the Asia Pacific region and is well positioned to support the country’s planned transformation towards a clean energy future.
The country has a BBB+ rating with S&P Global, an expected GDP growth above 6% and electricity demand set to expand at approximately 6% annually between now and 2040.
Iberdrola said it is highly committed to the economic and social wellbeing of the communities where it operates.
The developer said it proven track-record of community engagement, having established sound relationships with local trade unions and industries aimed at creating strong, sustainable, local supply chains.
Iberdrola’s entry into the Philippine market is aligned with the group’s diversification strategy aimed at becoming a global leader in offshore wind while consolidating its position as the world’s largest renewables energy company.
It operates 37.4GW of renewables across the world and has a pipeline of over 81.5GW of renewable projects.