Power & Energy

In a relatively short period, San Miguel has built a vertically integrated power company with a full spectrum of power businesses comprising of IPPA contracts (through holding company SMC Global Power Holdings), mining assets, which supply raw materials to power plants, and a distribution (through Meralco) which distributes and sells electricity through a vast network in Luzon island.  Being a vertically integrated power company gives SMC the opportunity to compete and maximize value in key segments of the value chain by driving and capitalizing on synergies among fuel sourcing, power generation and power distribution.


In addition, ownership of mining assets provides a natural hedge to any increase in fuel prices, while a 33.19% interest in Meralco provides SMC an information advantage over pure generation companies on supply-demand fundamentals.

Sual Power Plant


The Sual Power Plant is a 2×500 MW coal-fired power plant located in Sual, Pangasinan on the Lingayen Gulf.  This power plant is owned by TeaM Energy, which is a joint venture between Marubeni Corporation and Tokyo Electric Power Corporation.  The Sual Power Plant is the largest coal-fired power plant in the Philippines [in terms of installed capacity].  It was built pursuant to an ECA with NPC under a 25-year Build-Operate-Transfer (BOT) scheme that expires on October 24, 2024.