Nippon Sanso Ingasco Group (NSIG) and First Gen Corporation have inked a deal that will see NSIG’s manufacturing facility in Mindanao powered entirely by renewable energy. This partnership not only reinforces both firms’ environmental commitments but also marks a rare 100% RE supply deal in the Philippines’ industrial gas sector—an energy-intensive industry not typically associated with sustainability headlines.

Signed on April 2, the agreement provides 2.6 megawatts (MW) of electricity from First Gen’s Mindanao Geothermal Power Plant, operated by its subsidiary Energy Development Corporation (EDC), to NSIG’s facility within the Phividec Industrial Estate in Tagoloan, Misamis Oriental.

“As part of the Nippon Sanso Holdings Group’s global commitment to achieving carbon neutrality by 2050, we are continuously working to minimize our environmental impact,” said NSIG President Takenori Kawachino. “Partnering with First Gen to power our operations in Tagoloan with 100% RE marks a significant milestone in our sustainability journey.”

The deal is facilitated under the Retail Competition Open Access (RCOA) provision of the Electric Power Industry Reform Act of 2001, allowing large power consumers to source electricity directly from qualified suppliers.

“Transitioning to direct RE supply under RCOA comes with challenges, but the benefits far outweigh them,” said Carlo Vega, First Gen’s chief engagement officer. “We are committed to helping our customers like NSIG achieve their decarbonisation objectives.”

As energy-intensive industries increasingly look toward cleaner operations, this agreement offers a promising blueprint. The move also showcases how enabling policies like RCOA can unlock access to sustainable energy sources for industrial players willing to lead the charge.

What do you think this could mean for other manufacturers in the Philippines? Could geothermal be the next frontier for industrial-scale RE use? Join the conversation and share your take on this development.

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