20 percent stake in Philippines’ Citicore Renewable Energy acquired by Indonesia’s Pertamina NRE

The Indonesian state-owned Pertamina New and Renewable Energy (Pertamina NRE) and Philippine renewable energy developer Citicore Renewable Energy Corporation (CREC) have signed a strategic partnership worth $120 million.

Pertamina NRE subscribes to a 20 percent stake in CREC under the partnership, increasing its estimated value to about $120 million, the two said in a statement on Thursday.

Pertamina NRE and CREC will also work together to investigate renewable energy (RE) investments in Indonesia, including possible solar and wind power project development as well as cooperation on the creation and exchange of carbon incentives.

“To be a First-World Philippines powered by pure renewable energy, we must seek every opportunity to collaborate with government as well as peers in the industry and beyond our borders,

“With Pertamina NRE, we can view the energy transition through a different lens and create responsive, collaborative solutions for clean energy in the Philippines and Indonesia,” said CREC President and Chief Executive Officer Oliver Tan.

In the meantime, Pertamina NRE Chief Executive Officer John Anis stated that the company is spearheading Indonesia’s transition to renewable energy, and that its collaboration with Citicore, which has knowledge and experience in RE development, is a means of improving the company’s capacity in RE development and a significant step toward achieving its clean energy objectives.

“In the same light, we are committed to support Citicore and the Philippines with our own expertise, technology, and best practices,” he added.

The total gross installed capacity of the solar PV plants currently operated by the Citicore Group is 287 megawatts (MW).

The first will be finished this year, and the company’s goal is to deliver five gigawatts in five years.

CREC’s portfolio consists of 803MW of onshore wind projects in addition to solar photovoltaic (PV).

362 MW of these wind projects, totalling 543 MW, are scheduled for delivery through the Philippine DOE’s Green Energy Auction (GEA), while the remaining four projects are in various stages of development.

Assistant Secretary Mylene Capongcol of the Department of Energy said in her speech that the government’s top priority is to continuously ensure energy security.

“The Philippines has never ceased to adapt to the challenges that go along with our growing economy. Addressing the need to ensure energy security at all times is our topmost priority,

“Today, we are embarking on our journey towards energy transition through reliable, sustainable, and environment-friendly policies and regulatory frameworks,” said Asec. Capongcol.

She also emphasized the partnership’s contribution to enhancing Indonesian-Philippines energy cooperation.

“The Philippines will not only be able to advance its targets, but it signals that we are in active support to energy cooperation and sustainable development in Southeast Asia,” she added.