Alternergy open to official review of PHP 1.45b-deal with gov’t insurance agency

The company is conficent that all its actions followed highest standards.

Philippines-based Alternergy Holdings Corporation said it is ready to face an official review of its transactions, including its PHP 1.45b deal with the country’s government insurance agency.

“We are confident that all our actions adhere to the highest standards of governance,” Alternergy President Gerry Magbanua also said in a statement.

The country’s Ombudsman has preventively suspended Government Service Insurance System (GSIS) chief Jose Arnulfo Veloso along with six other officials over the said deal.

According to the energy firm, it has already remitted the first perpetual preferred shares (PPS) coupon totaling PHP 118m to GSIS in December 2024. This coupon is payable every year and effectively gives the state corporation a 56% return on its investment in the PPS, totalling Php826 Million, over 7 years.

The company also said that the funds used to subscribe to the PPS will be returned to GSIS in full at the end of the investment period.

Alternergy said proceeds of the investment funded the development and construction of its Tanay and Alabat wind projects, both awarded under the Green Energy Auction 2 Program of the Department of Energy. This is as part of four projects under construction totaling 225 megawatt capacity.

“This affirms the soundness of GSIS’ investment decision in Alternergy,” said Magbanua, “and reflects its and its members’ commitment to renewable energy and sustainability.