ACEN Corp. has dropped 12 wind and solar service contracts in Luzon, letting go of nearly 5,000 megawatts (MW) of potential capacity, as the government continues to purge idle renewable projects.
On Thursday, the group, backed by the Ayala Group, said in a regulatory filing that it voluntarily relinquished the projects ‘in support of the Department of Energy’s ongoing service contract cleanup initiative.’
In late 2024, the DOE began canceling inactive or idle renewable energy projects, starting with about 105 producers. In their defense, industry players have faced bureaucratic red tape, land issues, and other delays that have slowed project implementation.
ACEN said in a separate statement that the decision was part of its ‘broader portfolio rationalization’
‘Our focus is shifting from rapid expansion to focused execution, capital efficiency, and business resilience,’ said ACEN president and CEO Eric Francia.
As a result, ACEN has grown its attributable renewable energy capacity from about 100 MW in 2016 to around 7,500 MW.
‘This means being more selective in allocating capital and resources, prioritizing projects that we are best positioned to execute successfully, while allowing other developers to pursue opportunities that we are not taking forward,’ he added.
Likewise, ACEN has canceled the 1,248-MW Manila Bay wind power project, which would have spanned the provinces of Bataan, Cavite, and Batangas.
On the other hand, Giga Ace 7 Inc. has decided not to pursue the 1,024-MW Calatagan offshore wind power project.
At the same time, the group also canceled the 823-MW Masinloc solar facility and the 300-MW Rizal solar project.
ACEN, through its units, also abandoned floating solar projects, with a combined capacity of about 500 MW: the AC Laguna and Subic floating solar assets.
This came just months after the listed firm gave up two solar contracts in Quezon and Zambales because of land acquisition challenges.
Despite this, Francia maintained that ACEN would keep investing in the energy transition.
Still, ACEN has allotted about P80 billion in capital expenditures this year, higher than 2025’s P55 billion.
Meanwhile, to keep its growth momentum, ACEN named Roman Miguel de Jesus to lead its Philippine unit.
De Jesus, who has been the chief operating officer for Philippine operations since 2025, will take on the role of chief executive officer of ACEN Philippines starting January 1, 2027.