London-based investment firm Actis has formalised a significant $600mn investment into the Philippines, aiming to develop the country’s—and the world’s—largest single-site solar power project. The Terra Solar initiative, set to become a landmark in global renewable energy, was announced through an agreement signed with Manila Electric Corp. (Meralco) and SP New Energy Corp (SPNEC) at Meralco’s headquarters in Pasig City on August 6, as reported by Philippine News Agency (PNA).

Torbjorn Caesar, Chair and Senior Partner at Actis, expressed enthusiasm about the investment, describing it as the largest foreign direct investment (FDI) into greenfield infrastructure in the Philippines. “We are very honoured and excited to invest $600mn into this project,” Caesar said. Terra Solar is designed to produce 3,500 megawatts of solar power, complemented by a 4,500-megawatt hour battery energy storage system, positioning it as a significant player in the global renewable energy sector.

The Philippine Board of Investments (BOI) has recently awarded Terra Solar a certificate of green lane endorsement, facilitating expedited processing of permits and licences. This endorsement underscores the project's alignment with national goals for sustainable energy development.

Meralco PowerGen Corporation’s President and CEO, Emmanuel Rubio, highlighted the strategic importance of the partnership, noting its potential to elevate the Philippines on the global stage. Rubio emphasised that the project will not only enhance Meralco’s international standing but also contribute substantially to the country's energy needs. “We expect this strategic partnership will thrust Meralco into the international spotlight as a leader in renewable energy,” Rubio said. The project is anticipated to power over 2.4mn households in the Philippines and reduce carbon dioxide emissions by 4mn tonnes annually.

Terra Solar represents a substantial leap forward in the Philippines' renewable energy capabilities, reflecting broader global trends towards sustainable energy solutions. Actis’ substantial investment highlights growing international confidence in the Philippines’ potential as a hub for green infrastructure development.