State-owned Land Bank of the Philippines (LANDBANK) has approved an ₱800-million financing facility for Archipelago Renewables Corporation (ARC) to deploy hybrid renewable energy microgrids across underserved communities in Palawan, expanding electricity access through solar-powered systems with battery storage.
The financing will support the construction of 16 off-grid microgrids and 175 kilometers of distribution lines serving 14 barangays within the Palawan Electric Cooperative (PALECO) franchise area. The hybrid systems, which combine solar photovoltaic (PV) panels, battery energy storage systems (BESS) and diesel backup generation, are expected to provide 24-hour electricity to about 7,100 households, more than 300 small businesses, and key community facilities, benefiting over 30,000 residents.
The financing agreement was formalized on June 22 at LANDBANK Plaza in Manila in the presence of Department of Energy Undersecretary Rowena Cristina Guevara and Netherlands Ambassador Marielle Geraedts.
“This initiative goes beyond building infrastructure; it powers opportunity,” LANDBANK President and Chief Executive Officer Lynette Ortiz said.
“By combining clean solar energy with innovative financing, we are strengthening communities, supporting local enterprises, and accelerating inclusive growth in underserved areas. This is how we move forward—sustainably and responsibly,” she added.
ARC was established to develop and operate renewable and hybrid energy systems in off-grid communities. It is backed by Maharlika Clean Power Holdings Corporation, CleanGrid Partners Pte. Ltd., and Singapore-based WEnergy Global Pte. Ltd., bringing together expertise in renewable energy technology, project development and infrastructure investment.
WEnergy Global Chief Executive Officer Atem Ramsundersingh said the financing would help expand reliable electricity access while creating economic opportunities in remote communities.
“This partnership is about turning finance into economic and social impact,” Ramsundersingh said.
ARC President Quintin Jose Pastrana said the project forms part of what the company described as the country’s largest private-sector venture in off-grid electrification, with projects planned not only in Palawan but also in Quezon and Cebu.
The initiative has been recognized as an energy project of national significance and supports broader efforts to expand electrification in underserved areas while reducing dependence on fossil fuel-based power generation.
Hybrid renewable energy microgrids, which integrate solar generation with battery storage and backup diesel systems, are increasingly being deployed across the Philippines as a cost-effective solution for geographically isolated and disadvantaged areas where extending the main transmission grid remains technically challenging and expensive.
The Department of Energy has identified microgrids as a key component of its strategy to achieve universal electrification while improving energy security and increasing the use of renewable energy in off-grid communities.
The Palawan project is part of a growing pipeline of hybrid renewable energy microgrids being developed across the country as the government seeks to reduce reliance on diesel generation and deliver cleaner, more reliable electricity to remote island communities.
