Insular Life (InLife) will acquire PHP1 billion worth of preferred shares in the South Luzon Thermal Energy Corporation (SLTEC) from AC Energy (ACEN), a subsidiary of Ayala Corporation. ACEN’s remaining stake in SLTEC, amounting to PHP2.7 billion worth of share, has been acquired by ETM Philippines Holdings Incorporated (EPHI)
Proceeds from this exercise will be used to fund the retirement of Ayala’s SLTEC coal-fired power plant in Calaca, Philippines through the energy transition financing (ETF) mechanism as well as for developing more renewable energy (RE) projects in the country.
The 244 MW coal power plant will be decommissioned by 2040, 15 years ahead of its technical life. This move is a part of ACEN’s aim to achieve net zero greenhouse gas emissions from operations by 2050.