Metro Pacific’s Biogas Project receives Japanese Government Subsidy for Carbon Emission Reduction

MANILA, 18 MAY 2020 — Metro Pacific Investments Corporation (MPIC) today announced that its Biogas Project with Dole Philippines was recognized as a Joint Crediting Mechanism (JCM) Model Project and was approved for the maximum subsidy of 50% for qualified capital cost of the project from the Ministry of the Environment, Japan (MOEJ). This is the first eligible biogas project in the Philippines under the JCM.

Registered as “Biogas Power Generation and Fuel Conversion Project in Pineapple Canneries” under the JCM Model Project, the Project was qualified and confirmed by the Global Environmental Centre Foundation (GEC), an implementation agency of the JCM Model Project, following a meticulous validation process, to receive the subsidy for low-carbon projects that can deliver carbon credits for the achievement of Japan’s and partner countries’ GHG emission reduction target. Itochu Corporation of Japan, through its Manila office, was instrumental in initiating and leading the accreditation process, which was jointly supported by METPower Venture Partners Holdings, Inc., (METPower), a wholly owned subsidiary of MPIC.

An agreement was signed last November 2018 between METPower and Dole Philippines for the design, construction and operation of biogas facilities for Dole’s canneries in South Cotabato, Mindanao. The integrated waste-to-energy facilities aim to complement Dole’s existing operation by processing organic fruit waste and harnessing biogas to produce 5.7 MW equivalent of clean renewable energy and reduce GHG emissions by approximately 50,000 tonne CO2 equivalent per year from fossil fuel substitute.  

METPower CEO Karim Garcia said “The Dole Biogas Project is a perfect example of a collaborative venture that benefits all stakeholders – Dole, METPower, the governments of Japan and the Philippines, and ultimately, the environment. With this JCM Model Project recognition, we have further validation of the considerable environmental benefit our biogas plants bring in curbing the greenhouse effect and capturing methane emissions for alternative fuel use.” 

The JCM Model Project was introduced by the Government of Japan in pursuit of global greenhouse gas emissions reduction through promotion of advanced low-carbon technologies, systems and infrastructure. The program is implemented under a bilateral cooperation between Japan and a partner country like the Philippines and supports the call of the United Nations Framework Convention on Climate Change (UNFCCC) through GHG emission reduction. 

METPower is on a steep growth trajectory with two biogas plants under construction and new development projects such as CO2 recovery and organic fertilizer distribution currently under development. While COVID-19 has affected the construction and commissioning of its biogas projects under construction, it is expected that commercial operations of our biogas plants will commence by 1H, 2021. 

The first tranche of the JCM subsidy was received, with further cash distributions expected from MOEJ in 2021. 

This grant comes at an opportune time as it strengthens the company commitment to retain every single employee and sustain operations during this challenging time. This capital will further facilitate METPower’s pursuit and development of environmentally beneficial and sustainable projects in the near future.

Forward Looking Statements

This press release may contain “forward-looking statements” which are subject to a number of risks and uncertainties that could affect MPIC’s business and results of operations. Although MPIC believes that expectations reflected in any forward-looking statements are reasonable, it can give no guarantee of future performance, action or events.

For further information please contact: