Iberdrola has signed an agreement with Swiss renewable energy group Stream Invest Holding and Philippine wind power developer Triconti ECC Renewables to enter the Philippine offshore wind market, according to the company.
This is an option to participate in five offshore technology projects with a combined capacity of up to 3.5 gigawatts (GW) that are at a very early stage of development.
All the projects have obtained the first approvals from the Philippine Department of Energy for their development, which will be carried out jointly by Iberdrola and Triconti ECC Renewables.
This alliance opens the opportunity for the group chaired by Ignacio Sánchez Galán to enter a new offshore wind market with good growth prospects in the coming decades and also expands the company’s presence in the Asia-Pacific region, where it has recently entered markets such as Australia, Japan, Taiwan and Korea.
The agreement also highlights Iberdrola’s investment interest in realising the enormous potential of the renewables sector in the Philippines and helping the country to meet its Renewable Energy Program (NREP) for 2020-2040, which sets targets of achieving a 35% share of renewable energy in the generation mix by 2030 and 50% by 2040.
With a rating of ‘BBB+’ (S&P Global), GDP growth forecasts of more than 6% per year and electricity demand that will increase by almost 6% each year until 2040, the Philippines is one of the most dynamic economies in the Asia-Pacific region for the energy company.
Iberdrola’s entry into the Philippine market is in line with the group’s diversification strategy, which aims to become a global leader in offshore wind and consolidate its position as the world’s largest renewable energy company.
This agreement is in addition to other operations in the offshore sector carried out by the company in recent years that have enabled the development of wind farms in the Baltic Sea (Wikinger, Windanker, Baltic Eagle), the North Sea (East Anglia Oone, Flagship), the Irish Sea (West of Duddon Sands), the coast of Massachusetts (Vineyard Wind, Park City Wind, Commonwealth Wind) and the coast of Brittany in France (Saint Brieuc).
Specifically, the energy company has operating assets, ongoing projects and other early-stage developments of approximately 35 GW in the United Kingdom, the United States, Germany, France, Poland, Sweden, Norway, Taiwan, Japan, Korea and Brazil. The group operates 37.4 GW of renewables worldwide and has a portfolio of more than 81.5 GW of renewable projects.