CREC secures landmark financing deal with RCBC for multiple solar power projects

RCBC’s PhP20 Billion deal supports CREC’s 1GW target, enabling solar energy expansion across the Philippines.

Citicore Renewable Energy Corporation (CREC) has secured a financing arrangement with Rizal Commercial Banking Corporation (RCBC) for the funding of multiple solar power plant projects. These projects collectively boast an installed generating capacity ranging from at least 600MWdc to approximately 1GW of solar energy capacity.

The financing deal, facilitated by RCBC Capital Corporation, is expected to reach up to PhP20 Billion in funding. It commences with the signing of an initial tranche of PhP9 Billion. This arrangement is believed to be the first of its kind in the Philippines, covering various project portfolios instead of the typical per-project financing structure.

The proceeds from the initial funding tranche will be allocated towards CREC’s development of specific solar power plant projects located in Batangas, Pampanga, and Negros Occidental. Subsequent tranches will fund the completion of additional solar power projects or augment the generating capacity from CREC’s pipeline of projects in various stages of development.

“RCBC’s support will assist us to fulfill our 1GW target for this year,” said CREC President and CEO Mr. Oliver Tan. “We thank RCBC for their trust in us and we will endeavor to meet our goals with excellence.”

The solar power plant projects in Batangas, Pampanga and Negros Occidental are integral to CREC’s target of contributing 1GW of ready-to-build/under construction solar energy capacity per year over the next five years. The expected commercial operation dates for the first and second phases of the Negros Occidental project are in September 2024 and 2025, respectively. Meanwhile, the expected commercial operation dates for the first and second phases of each of the Batangas and Pampanga projects are in December 2024 and 2025, respectively.