By Genivi Factao
The Bank of the Philippine Islands (BPI) vowed on Wednesday to push its sustainable-energy financing (SEF) program beyond the SME focus it has for now and on to the retail space where its impact could be huge.
Starting this year, BPI will finance energy-efficiency and renewable-energy projects for small companies
and individuals.
BPI Vice President Jo Ann Eala, said BPI has engaged in SEF of 174 companies, mostly small and medium enterprise (SME), and the middle market.
BPI’s total loan portfolio for SEF already totaled P17 billion in 2014, higher by 74 percent than the P9.77 billion recorded in 2013.
“The growth [proved] fast because more and more people are becoming environmentally conscious. Not only that, we’re also helping the environment. It ensures energy-regulatory compliance, too, and in the end you make a lot of money,” Eala told the BusinessMirror.
BPI and the International Finance Corp. forged an SEF partnership in 2008 that involves technical assistance for BPI and its clients.
“The total energy we produced and saved from 2008 to 2014 was 1.3 million megawatts of electricity, equivalent to 23.3 million grown trees, or removing 191,141 cars. It’s also equivalent to 2.1 million barrels of oil not consumed, or removing the 325,420 tons of waste,” Eala said.
BPI saw the demand for SEF not only from corporate and Philippine Economic Zone Authority locators but from individuals and households, as well.
As an advocate of sustainable energy, BPI has two solarized branches in Cainta and Ayala East. Of the more than 800 branches of BPI, 31 can be solarized.
“Our target is to go beyond SMEs and go down to retail markets. We help clients calculate their energy consumption, and advice them on the type of project financing they need,” she said. The investment for solar-paneled houses could cost over P100,000, depending on the solar panel size and brand. “When you produce electricity from solar panels, you can sell the excess power to Meralco, but Meralco will buy it at a lower price. Before you can do it, you have to reconfigure the meter and register with Meralco,” she said.
One of the major SEF clients of BPI is the San Carlos Solar (SaCaSol).
“We financed the 22-megawatt first utility scale solar power plant of SaCaSol, which provides electricity to 80,000 homes,” she said.
Just recently, the Department of Energy endorsed SaCaSol as eligible for the feed-in-tariff scheme.
BPI also financed sustainable-energy projects of Sheridan Hotel, known as the green resort of the Philippines; Glacier Refrigerated Services; and Venvi Development Corp. These companies reported energy cost savings of up to 60 percent.