Philippine tech company We Are IT Philippines Inc (WIT) and Japan-based solar developer Eguchi Holdings Co Ltd have signed a joint venture agreement for the creation of solar and wind projects in the Philippines.
The new JV is likely to invest $5 million in projects related to solar and wind energy over the next two-three years. The long-term target, according to a company official, is to build at least five megawatts (MWs) in that span of time.
WIT chief operating officer Joseph Maddatu said the investment could reach $1 million in each megawatt plant in a hectare of land.
Eguchi president Katsuyoshi Eguchi said the new JV — named Fujisan Solar and Wind Energy Corp — targets high quality solar projects but will start with some small-sized wind projects in Luzon.
WIT is a satellite broadband service provider in the Philippines, while Eguchi is a solar and wind developer in Japan with more than 15 MWs installed capacity.
He said the JV firm will start with chicken farms with a 300 kilowatt (kW) capacity.
Maddatu noted they aim to put up solar projects of around 1-2 MWs capacity before March 2016 in order to avail of the P8.69 per kWh Feed-in-Tariff (FIT).
Some of the areas considered for the projects are in Cagayan Valley; Tanay, Rizal; Pililia, Rizal; and selected areas in Mindanao.
Maddatu added that Fujisan was considering several projects, depending on how fast the government would award the service contracts.
Founded over 10 years ago, WIT’s portfolio includes providing satellite communications infrastructures for critical missions of civil and military entities of the government in the Philippines.