Axelum Resources Corp., the Philippines’ leading integrated manufacturer and exporter of premium coconut food products, announced a landmark partnership with First Gen Corporation, the country’s foremost renewable energy (RE) provider. The collaboration will see First Gen directly supply up to 5.2 megawatts (MW) of geothermal power to fuel Axelum’s manufacturing operations in Medina, Misamis Oriental.
First Gen will source the renewable electricity from the Mt. Apo Geothermal Power Plant, operated by its subsidiary, Energy Development Corporation. This strategic move underscores Axelum’s deep commitment to its core sustainability agenda and the building of long-term climate resilience across its operations.
“This initiative forms an integral part of our core sustainability agenda and demonstrates our serious commitment to building climate resiliency,” stated Mr. Henry J. Raperoga, President and Chief Operating Officer of Axelum Resources Corp. “From a broader view, this move will also provide us with reliable energy supply leading to operational cost efficiencies, lower carbon emissions and positive environmental impacts in the long term.”
The direct power supply agreement was made possible by the Retail Competition and Open Access (RCOA) provision of Republic Act 9136, the Electric Power Industry Reform Act of 2001. This legislation allows qualified customers to choose their preferred retail electricity supplier, fostering competition and transparency within the Philippine electricity market.
“It is our privilege to partner with Axelum to help drive sustainability in the manufacture and export of one of our country’s major commodities,” said Carlo Vega, Chief Engagement Officer of First Gen. “Geothermal power is the only RE technology that can run 24/7 and can support major manufacturing operations. RE can help reduce the carbon footprint of various industries and when combined with energy efficiency solutions, can boost decarbonization and rationalize electricity usage.”
Axelum has long been recognized as a pioneering sustainability leader within its sector. Its manufacturing and export operations, backed by multiple international quality certifications, maximize the use of coconuts, achieving zero waste by utilizing coconut shells as feedstock for industrial boilers that generate manufacturing steam. Furthering its commitment to circularity, Axelum actively implements a reforestation program aimed at increasing young coconut tree populations and improving productivity, while simultaneously serving as a carbon sequestration strategy.
First Gen operates an extensive portfolio of renewable energy facilities, including 13 geothermal power plants nationwide with a total installed capacity of nearly 1,200 MW, representing approximately 60 percent of the Philippines’ total geothermal capacity. The company’s RE portfolio also includes over 400 MW of capacity from hydro, wind, and solar facilities. To ensure a stable energy supply, First Gen also operates four natural gas-fired power plants with a combined capacity of 2,017 MW, providing a balanced approach to low-carbon electricity and energy security.
This partnership marks a significant step for Axelum in its journey towards fully embracing renewable energy, setting a strong example for sustainable industrial practices within the Philippines.
