PH ranks 4th in power sector investments

Department of Energy (DOE) Assistant Secretary Mylene Capongcol welcomed the BloombergNEF Climate 2023 report, which propelled the Philippines to the top 5 as one of the most attractive emerging markets for investments in the power sector.

The Philippines moved up six places to number 4 after India, China and Chile, following the country’s significant progress in transitioning to renewable energy (RE) over the last two years.

In the report released on Nov. 29, the Philippines stands out as one of the few that have implemented auctions, feed-in-tariffs, net metering schemes, tax incentives and with a strong target for renewable energy.

It further highlighted the DOE’s second green energy auction where it has awarded 3.4 gigawatts (GW) of renewable energy capacity where 1.2 GW is earmarked for ground-mounted, rooftop solar and onshore for 2024 to 2025 and 2.2 GW for 2026.

The report also highlighted the country’s release of an offshore wind roadmap and the removal of foreign ownership restrictions which encouraged growth in offshore wind investments.

It also cited the country’s clean energy investment which grew 41 percent from 2021 to 2022, reaching USD1.34 billion.

Capongcol said these were made possible through various synergies and a whole-of-government approach in the implementation of energy policies and programs that President Ferdinand R. Marcos Jr. has strongly pushed.

As of 2022, the country’s renewable energy comprised 29 percent of the installed capacity and 22 percent of the gross power generation.

The DOE aims to target RE share of 35 percent in the power generation mix by 2030 and 50 percent by 2040.

Meanwhile, in anticipation of the release of the updated Philippine Energy Plan, the DOE is embarking on initiatives that would propel investments in the energy sector in different technologies and required capacities in the power generation mix by 2030 to 2050, underscoring its commitment to the global energy transition.

This roadmap comprises crucial elements such as the implementation of RE sources energy efficiency and conservation measures, advancing alternative fuels and emerging energy technologies, adopting information and communications technology through advanced smart grid technologies and fortifying energy infrastructure to be resilient and climate proof. (DOE)