THE Philippine grid is not as able as its counterparts among the major economies of the Association of Southeast Asian Nations (ASEAN) to accommodate a large proportion of variable renewable energy (RE), according to the Southeast Asia Information Platform for the Energy Transition (SIPET).
A SIPET ranking gave the Philippines 1.9 in terms of grid integration, lagging Indonesia, which posted a score of 3.6; Thailand 4.7 and Vietnam 5.9.
SIPET said its ranking system scores grids between 0 and 10 points, with a 10 in the integration category reflecting a high ability to deal with the transition to alternative power sources.
SIPET, a platform developed by the German government-backed Clean, Affordable, and Secure Energy for Southeast Asia (CASE) project, aims to aid coordination as the region’s power industry shifts to more sustainable sources of energy.
According to the Department of Energy (DoE), system flexibility will be a factor in making variable RE cost-effective.
Some sources of RE like solar and wind are intermittent, making them unsuitable for reliable, always-on baseload power given their current state of technological development.
The DoE hopes to increase the share of RE in the power mix to 35% by 2030 and 50% by 2040.
The Philippines scored 5.3, third-best in the region, in the investment environment category. SIPET said the investment environment reflects investors’ risk appetite to participate in the power transition.
Vietnam was first with a score of 7.7 and Thailand second with seven. Indonesia was at the bottom with a score of two.
The Philippines was second in the market entry category, with a score of 5.6. The scoring system here measures the ease of introducing renewable energy technologies.
According to SIPET, this includes permit risks, grid access, and market or regulatory barriers.
Vietnam took the top spot with a score of six; while Thailand came in third at 3.2; while Indonesia placed in the last spot with a score of 1.9. — Ashley Erika O. Jose
