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EXAMINING THE VIABILITY OF ADOPTING SOLAR ENERGY INTEGRATION AS POWER COST REDUCTION INITIATIVE OF MANUFACTURING COMPANY A

Authors: Lapuz, Francis Emil J.;

EXAMINING THE VIABILITY OF ADOPTING SOLAR ENERGY INTEGRATION AS POWER COST REDUCTION INITIATIVE OF MANUFACTURING COMPANY A

Abstract

Industrial companies in the Philippines face mounting pressure to adopt renewable energy to counter volatile electricity costs; however, leadership at Manufacturing Company A hesitated due to perceived capital constraints, viewing the project as a simple, high-cost power reduction initiative rather than a strategic necessity. To address this research problem, this study employed a qualitative, single case study methodology utilizing environmental scanning and in-depth, semi-structured interviews with 11 key managers and supervisors. The major findings revealed that the primary drivers for adoption are mitigating the high operational cost of an unstable grid and upholding the brand integrity of a green-tech company, rather than simple utility savings. Furthermore, the firm's key internal strength is world-class engineering expertise, contrasted by a critical weakness of limited internal capital. Consequently, the study concludes that solar integration is a core strategic imperative essential for the company's operational stability and ESG credibility, not merely a cost-saving measure. Based on these conclusions, it is recommended that the company reframe the initiative as a living Showcase and R&D testbed, and leverage a Zero-Capex Power Purchase Agreement (PPA) model to bypass internal financial hurdles.

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