The Department of Energy (DOE) said it will collect up to P24 billion in performance bonds and other financial and technical obligations from Solar Philippines Power Project Holdings Inc., a company founded by Batangas Rep. Leandro Leviste.
Energy Secretary Sharon Garin said the collection follows the termination of 11,427 megawatts (MW) worth of Solar Philippines’ solar projects, mostly in Luzon, due to failure to make substantial progress despite repeated notices.
Solar Philippines accounted for about 64 percent of the 17,904 MW of renewable energy contracts cancelled or relinquished in 2024 and 2025. Of its terminated capacity, 1,370 MW had qualified for incentives under the first two rounds of the Green Energy Auction (GEA). Thirty-three of the 163 terminated contracts belonged to the company.
DOE clarified that the cancelled contracts are under Solar Philippines’ parent firm and do not involve affiliates Solar Para Sa Bayan Corp. or SP New Energy Corp., which is now under Meralco Power Gen Corp.
Garin said the DOE followed due process, including show-cause orders, before terminating the contracts, citing non-compliance and lack of response from the company. She said the agency is prepared to file civil, criminal, or administrative cases if warranted.
While there is no set timeline for collecting the P24 billion, the DOE said it is crafting a catch-up plan to replace the cancelled capacity, possibly through future GEA rounds. Garin stressed that the government’s target of 35 percent renewable energy in the power mix by 2030 and 50 percent by 2050 remains unchanged.
The DOE also said developers with repeated violations could be blacklisted, subject to case-by-case review.
Separately, Ombudsman Jesus Crispin Remulla said Leviste is under investigation over the alleged improper transfer of a renewable energy franchise. Meralco Power Gen defended its investment in SP New Energy Corp., saying it is a separate entity and that the transaction complied with all laws and regulations.
Renewable energy developers’ group president Jose Layug Jr. said the DOE’s move sends a strong signal to serious investors and urged the agency to award contracts only to financially and technically capable firms.
