Paving the way for a more sustainable energy future

Climate change is a complex and pressing issue that requires urgent attention and action on a global scale. Its impact is becoming increasingly apparent worldwide, with rising sea levels, more frequent extreme weather events, declining biodiversity and increasing food insecurity.

The Intergovernmental Panel on Climate Change has even warned that without immediate action, the planet is on track for a catastrophic increase in global temperatures of 2.7 degrees Celsius by the year 2100.

The energy industry is among those at the forefront of tackling climate change, as it is both a major contributor to greenhouse gas emissions and has great potential to significantly reduce emissions through various strategies.

Here in the Philippines, energy company Meralco is investing significantly in crucial projects to improve the sustainability of its operations. The company recently announced a significant investment of more than €100 billion until 2030 to fund initiatives that will accelerate the implementation of its sustainability agenda.

“With sustainability deeply entrenched in Meralco’s operations and long-term plans, we are proud to dedicate more than P100 billion in capital expenditures to initiatives that will not only improve our infrastructure but also align with the government’s vision for a sustainable future,” Meralco Executive Vice President and COO Ronnie L. Aperocho said.

Part of the capital injection will be used for critical projects aimed at making Meralco’s distribution network smarter and more resilient in the face of climate change by increasing network reliability, reducing system losses and switching to natural ester oil for distribution transformers.

In addition, the investment will also cover the company’s transition to renewable and sustainable energy.

Meralco takes a step forward in its renewable energy efforts by investing P15.9 billion in SP New Energy Corp. (SPNEC) through MGen Renewable Energy, Inc. (MGreen), a wholly owned subsidiary of Meralco PowerGen Corp.

This investment is part of Meralco’s commitment to secure 1,500 MW of renewable energy supply contracts and develop 1,500 MW of attributable green energy generation capacity.

“At the heart of our long-term sustainability strategy are the twin commitments to secure 1,500 MW of renewable energy supply contracts and to develop 1,500 MW of attributable green energy generation capacity. This underscores our commitment to our transition to a low-carbon economy and to meeting the country’s growing energy demand with clean energy,” said Raymond B. Ravelo, First Vice President and Chief Sustainability Officer of Meralco.

These initiatives are expected to contribute significantly to the company’s efforts to reduce its environmental footprint and transition to a more sustainable future.

The company also recently entered into a dialogue with the Climate Change Commission (CCC) Philippines to further its commitment to sustainability and strengthen the country’s transition to a greener future.

During the dialogue with the CCC, Meralco executives emphasized the company’s commitment to mitigating the risks associated with global warming and CO2 emissions by promoting renewable energy sources, reducing system losses and switching to natural ester oil for distribution transformers.

Meralco showcased its distribution company’s electric vehicles (EVs) and charging stations, along with its digital twin laboratory, the Powertech Innovation and eXperience Lab (PIXL).

Additionally, One Meralco Foundation (OMF), Meralco’s social development arm, is leading the way in environmental conservation through its One for Trees (OFT) program. This initiative focuses on reforestation efforts that not only contribute to environmental conservation but also provide livelihood opportunities for local communities in the Philippines.

OMF, in partnership with the local government of Del Carmen in Siargao and the organization Kaanib ng mga Mangingisda in Magsasaka ng Numancia (KAMAMANA), has planted and cared for 125,000 native mangroves in Surigao del Norte province. The project aimed to highlight the important role of wetlands in the fight against climate change. This includes the Del Carmen Mangrove Forest Reserve, which covers more than 4,800 hectares and serves as a crucial habitat for several species while providing vital resources to local residents.

Furthermore, OMF’s commitment to environmental sustainability extends beyond mangrove reforestation. In the Laguna-Quezon Land Grant (LQLG), a 6,765-hectare forest area within the Sierra Madre Mountains, OMF and its partners planted 100,000 native trees, furthering their efforts to combat deforestation and promote sustainable practices in the region. continue.

By the end of 2023, OMF has nurtured approximately 2.3 million trees at 35 reforestation sites across the country, directly benefiting more than 2,000 tree farmers and their families.

Moreover, Meralco has made waves on the world stage with its programs focused on sustainability and corporate social responsibility.

In 2023, Meralco won a total of eight Stevies – four gold and four bronze – at the International Business Awards (IBA) in Rome, Italy, for its commitment to embedding sustainability at the core of its strategy and operations.

Meralco was also the sole recipient of the Gold Stevie in the ‘Sustainability Leadership Award in Asia, Australia, and New Zealand’ category, recognizing the company’s commitment to sustainability and its leadership in the region.

Mr Ravelo was named “Sustainability Hero of the Year in Asia, Australia and New Zealand” for his leadership in the company’s sustainability agenda.

Meanwhile, Meralco Vice President and Chief Corporate Social Responsibility Officer Jeffrey O. Tarayao, who is also president of OMF, was named “Thought Leader of the Year” for his innovative approaches to CSR and sustainable development programs.

Meralco’s sustainability agenda, ‘Powering the Good Life’, was established in 2019 and is deeply rooted in the United Nations Sustainable Development Goals (SDGs) and supported by four pillars: Power, Planet, People and Prosperity.

“As we pursue our decarbonization strategies, we envision a thriving society with access to education, clean water, quality healthcare, dignified livelihoods and disaster preparedness – all in line with the United Nations Sustainable Development Goals,” Manuel V, President and CEO of Meralco. Pangilinan said.

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