Acwa Power Philippines and the Bases Conversion and Development Authority (BCDA) have signed a lease contract for a 500-hectare site in New Clark City, formalizing plans for an integrated 500-MW solar photovoltaic and battery energy storage facility. The agreement marks Acwa Power’s first land deal with a Philippine government agency.
At full build-out, the project represents a minimum investment of USD 400,000 per megawatt — placing total capital commitment at USD 200 million or more, subject to regulatory approvals and expansion phases.
Lease Agreement and Project Scope
The contract gives Acwa Power Philippines the right to develop the 500-hectare site within New Clark City’s special economic zone. The company will construct an integrated utility-scale solar photovoltaic and battery energy storage system — a combined PV-BESS facility designed to deliver continuous, dispatchable clean power.
Capacity will reach up to 500 MW at full build-out. The minimum investment threshold of USD 400,000 per MW puts total capital commitment at USD 200 million or more, depending on final design decisions and the scope of future expansion phases. Construction cannot begin until regulatory approvals are secured, and development will proceed in phases — meaning the 500-MW figure represents a ceiling rather than an immediate output target.
Why the Project Is Being Developed in New Clark City
New Clark City is not a conventional industrial estate. BCDA is developing it as a competitive hub for artificial intelligence, advanced manufacturing, data centers, and other technology-driven sectors that share one critical requirement: reliable, around-the-clock clean power.
That requirement makes an anchor renewable energy facility essential, not optional. High-growth technology tenants cannot operate on intermittent supply, so by securing Acwa Power as its anchor power locator before those tenants arrive, BCDA is sequencing infrastructure in a way that makes the zone genuinely investable.
The site’s position within a special economic zone also carries weight. According to Salman M. Baray, Country General Manager of Acwa Philippines, the 500-hectare footprint inside an active economic zone allows the company to build something “genuinely integrated rather than incremental” — a distinction that shapes both the technical design and the long-term development timeline. For Acwa Power, the lease carries additional strategic significance as the company’s first land agreement with a Philippine government agency, representing a concrete entry point into Southeast Asia as part of its broader regional expansion.
Expected Outcomes for Industry and Energy Supply
The solar-plus-storage facility will serve as BCDA’s anchor power locator within New Clark City, supplying electricity directly to data centers, advanced manufacturing tenants, and other energy-intensive industries in the master-planned development.
Finance Secretary Frederick D. Go described the investment plainly: “Acwa’s investment in New Clark City lays the foundation upon which semiconductors, advanced manufacturing, and AI-driven industries can be built at utility scale.” He added that the project is expected to make New Clark City “one of the strongest investment destinations in the region, while creating meaningful, lasting jobs for Filipinos.”
Acwa Power CEO Dr. Samir J. Serhan focused on cost and reliability, citing the opportunity to “help power industrial growth while lowering energy costs and supporting the country’s broader economic ambitions through reliable renewable energy.” Acwa also committed to investing in communities surrounding the 500-hectare site. Baray acknowledged that “a project of this breadth has to work for the people who live alongside it.”
National Renewable Energy Targets and Policy Context
The project aligns directly with stated Philippine energy policy. The country aims to raise the share of renewable energy in its national power mix to 35 percent by 2030, and large-scale utility projects of this kind are central to reaching that target.
The New Clark City solar-plus-storage facility is listed among the key investment commitments secured under the administration of President Ferdinand R. Marcos Jr., tying it explicitly to the government’s economic growth and energy security agenda. New Clark City is positioned more broadly as a model for green, smart, and resilient urban development — a demonstration of what integrated clean infrastructure can look like at scale in the Philippines.
Acwa Power’s track record extends well beyond solar. The company is recognized as the world’s largest private water desalination company, a leader in energy transition, and an early mover in green hydrogen at scale. That depth of experience underpins the confidence both BCDA and the Philippine government have expressed in the partnership.
A 500-MW solar-plus-storage facility is planned for New Clark City under the lease between Acwa Power Philippines and BCDA; the minimum investment stands at USD 400,000 per MW; the project will anchor clean power supply for data centers and advanced industries; and it directly supports the Philippines’ 35-percent renewable energy target for 2030.
Carlos is an engineer with strong expertise in technical and industrial topics. He previously worked at international companies such as Siemens and speaks Spanish, German, English, and Italian.
