MANILA, Philippines — First Gen Corporation has announced plans to allocate up to ₱160 billion in capital expenditures through 2031 as it expands its clean energy developments and scales up its renewable generation capacity.
Giles Puno, president of the Lopez-led energy firm, stated that total capital spending will fall between ₱150 billion and ₱160 billion, targeting geothermal, hydro, and solar projects.
Of the intended capital deployment, over ₱60 billion will be directed toward hydroelectric assets, while approximately ₱70 billion is earmarked for geothermal project expansions under Energy Development Corporation (EDC), First Gen’s green energy arm.
Despite the substantial capital required for these large-scale clean energy assets, Puno voiced optimism that financing will remain accessible through robust backing from long-term capital providers and domestic financial markets.
The firm continues to pivot its expansion toward zero-carbon assets as part of its strategy to wind down direct exposure to natural gas projects.
At present, First Gen controls roughly 1,700 megawatts of aggregate clean power generation capacity across 31 operating facilities that harness wind, solar, hydro, and geothermal energy.
EDC remains the core component of First Gen’s clean energy portfolio, accounting for roughly 61 percent of the total geothermal capacity installed across the country—a key asset sustaining the nation’s position as a prominent producer of geothermal power.
The geothermal developer recently drew international takeover attention following an unsolicited acquisition proposal from Indonesia’s PT Barito Renewables Energy, which estimated the enterprise value of EDC at about ₱308 billion.
Local utility provider Manila Electric Company (Meralco) likewise signaled interest in acquiring a non-controlling equity stake in EDC should an opportunity arise.
However, Puno dismissed the possibility of a buyout, confirming that First Gen will not divest its controlling share in EDC.
Constitutional rules on foreign equity participation in vital public infrastructure also obligate First Gen to retain majority equity control over the domestic energy provider.
Puno added that the extensive technical expertise of local engineers and operators gives the group a distinct operational advantage, particularly when building and managing geothermal sites.
Leveraging deep local expertise will remain vital to First Gen’s project execution as the energy producer seeks further geothermal expansion to fuel nationwide economic growth.