Wells Fargo to buy geothermal power from Aboitiz Power in the Philippines
Wells Fargo International Solutions, support unit for the global operations of U.S. financial institution Wells Fargo, has signed a power purchase agreement for the supply of electricity from the Tiwi-Makban geothermal power plant by Aboitiz Power.
Wells Fargo International Solutions LLC – Philippines (“Wells Fargo Philippines”) today announced it has entered into a retail electricity purchase agreement with Aboitiz Power Corporation through its subsidiary, AP Renewables Inc. (APRI), for the fulfillment of its renewable energy needs. The power company will deliver approximately 7,500 MWh of renewable energy annually bundled with International Renewable Energy Certificates (I-RECs) to Wells Fargo’s Taguig facility from its Tiwi-Makban geothermal plant in Laguna.
Wells Fargo Philippines, located at McKinley Hill, Bonifacio Global City, is primarily an extension of the operations, knowledge services, and corporate support teams of Wells Fargo.
Geothermal power plants use heat from deep inside the earth to generate steam to make electricity. According to PowerTechnology.com, the Tiwi-Makban plant is the fourth-largest geothermal plant in the world. The deal announced today is Wells Fargo’s first for geothermal energy. Wells Fargo joins a growing group of companies shifting to renewable energy, or “Cleanergy,” which is Aboitiz group’s brand for renewable energy, and is the first to do so in McKinley Hill, where its 850,000-square-foot site is located.
As part of its goal to accelerate transition to a low-carbon economy, Wells Fargo has been meeting 100% of its annual global electricity requirements through renewable energy since 2017, primarily through the purchase of RECs. Today’s announcement represents an important step in the next phase of the bank’s renewable energy goal — to transition to a higher mix of long-term renewable energy contracts and significantly increase deployment of on-site generation to support the development of net-new sources of renewable energy.
“Renewable energy projects like Tiwi-Makban are critical for helping us do our part to curb the impacts of climate change,” said Nate Hurst, head of Social Impact and Sustainability for Wells Fargo. “If we focus on markets where our energy needs are the greatest, we can advance our operational goals in a more sustainable way while also empowering job creation and care for the environment in communities where our employees live and work.”
Edzel Reyes, Corporate Properties Group head of Wells Fargo Philippines, shared, “We have been taking deliberate steps in our sustainability journey, with utilities being one of our major focus areas. This marks an important additional step in that direction. The conversion of our newest site in Manila toward adopting renewable energy is in alignment with our consistent focus on increasing sustainable use of resources and development in our corporate properties.”
Aboitiz Power’s first vice president for Commercial Operations Juan Alejandro Aboitiz shares his optimism about the cleanergy partnership with Wells Fargo. “Over the years,” he said, “AboitizPower has taken great strides towards the fulfillment of its groupwide sustainability goals. We take pride not just in powering the energy needs of the country, but more so in fostering social responsibility through the conservation of the environment. By working with Wells Fargo, we are poised to continue the Aboitiz promise of advancing business and communities by pursuing reliable and sustainable ways of delivering energy.”
In addition to being one of the largest corporate users of renewable energy, Wells Fargo is a leader in financing large-scale wind, solar, and other renewable energy projects. The company made its first tax equity commitment in 2006; since then, it has become one of the leading investors in the renewable energy space, providing more than $8 billion in tax equity financing to customers in support of more than 400 projects. At the close of 2019, Wells Fargo’s tax equity investments represented 10.3% of all solar and wind generation capacity in the United States.
Source: company release