The Manila Electric Company (Meralco), led by business titan Manuel V. Pangilinan, has inked a long-term power supply deal with First Quezon Biogas Corporation (FQBC) in a significant boost to its renewable energy efforts.
Under the agreement, Meralco will source 1.25 megawatts (MW) of clean energy from FQBC’s 1.4 MW biogas facility in Candelaria, Quezon. Though modest in size, this biogas plant punches above its weight by converting agricultural waste and manure into usable electricity through advanced anaerobic digestion technology.
“This isn’t just about electricity,” said Meralco Senior Vice President and Regulatory Management Head Jose Ronald V. Valles. “It’s about creating sustainable value for communities, farmers, and the environment. We hope this project sparks more investments in biogas across the country.”
Beyond adding green power to the grid, the facility helps solve a pressing problem for nearby farms: what to do with organic waste. By transforming waste into power, the plant helps reduce methane emissions, supports climate action goals, and provides a sustainable waste management solution for Quezon’s agricultural sector.
The 20-year Power Supply Agreement (PSA) will take effect starting June 26, 2026, pending regulatory approval from the Energy Regulatory Commission.
The deal also strengthens Meralco’s compliance with the Department of Energy’s Renewable Portfolio Standards (RPS), which gradually raises the renewable share in power providers’ supply mix. The government aims for renewables to make up 35% of the national energy mix by 2030 and 50% by 2040.
So far, Meralco has locked in 1,535 MW of renewable capacity from various sources—exceeding its original 1,500 MW target. With more projects in the pipeline, the company expects renewable energy to account for 26% of its total supply by 2030.
In short: more green power, less waste, and a brighter, cleaner future.
