In a nation grappling with the dual challenges of energy security and environmental degradation, one financial institution stands out for its commitment to sustainable solutions. The Philippines, with its growing population and industrial demands, faces an urgent need for innovative approaches to power generation and waste management. Amid this backdrop, BDO Capital and Investment Corp., the investment banking arm of BDO Unibank, Inc., has emerged as a pivotal player in driving green financing. By channeling substantial resources into renewable energy and cutting-edge waste-to-energy initiatives, the company is not only addressing pressing national issues but also setting a precedent for the financial sector. This strategic focus on sustainability reflects a broader global shift toward environmentally conscious investments, positioning BDO Capital as a leader in fostering a greener future for the country through impactful and forward-thinking financial support.
Pioneering Renewable Energy through Hydropower Investments
A significant pillar of BDO Capital’s green financing efforts lies in its support for renewable energy infrastructure, particularly through the acquisition of major hydroelectric assets. The company has played a crucial role in financing the deal for the Caliraya-Botocan-Kalayaan (CBK) hydroelectric power plants in Laguna, which boast a combined capacity of 796.64 megawatts. Led by the Thunder Consortium, which includes Aboitiz Renewables, Inc. alongside international partners, the acquisition was secured through a competitive auction with a bid of P36.266 billion. BDO Capital’s readiness to fully back this transaction underscores its dedication to enhancing the nation’s renewable energy capabilities. With the turnover of the facility scheduled for early 2026, this project is poised to bolster power supply while reducing reliance on fossil fuels. Such initiatives highlight how strategic financial backing can accelerate the transition to sustainable energy sources, addressing the country’s growing demand in an eco-friendly manner and reinforcing the importance of hydropower as a reliable renewable resource.
Innovating Waste Management with Waste-to-Energy Projects
Beyond traditional renewable energy, BDO Capital is breaking new ground by financing the Philippines’ first waste-to-energy (WTE) facility in Smokey Mountain, Tondo, Manila. This pioneering project, supported by a $200-million loan, is spearheaded by Manila Integrated Environment Corp. and aims to process 3,000 tons of municipal solid waste daily while generating 100 megawatts of electricity. Targeted for commercial operations by late 2028, this initiative represents a transformative approach to tackling urban waste challenges while producing clean energy. It aligns with global trends toward circular economies, reducing landfill dependency and turning waste into a valuable resource. BDO Capital’s involvement in this venture, alongside its long-standing Sustainable Finance Program that has invested over P1.04 trillion in green projects since its inception, demonstrates a bold vision for integrating environmental innovation into economic growth. This dual focus on traditional and novel sustainability solutions cements the institution’s role as a trailblazer in shaping a more resilient and environmentally responsible energy landscape.
