THE Department of Energy (DoE) said it plans to offer 4,475 megawatts (MW) worth of renewable energy (RE) capacity in the third round of the green energy auction (GEA-3).
The DoE issued the notice of auction and the terms of reference for GEA-3, inviting qualified energy developers to participate in the bidding aimed at facilitating the energy transition.
“By unlocking more capacity for renewable energy, GEA-3 provides a clear pathway to meet our electricity demands in an environmentally sustainable way,” Energy Secretary Raphael P.M. Lotilla said in a statement on Thursday.
The terms of reference state that technologies ineligible for the feed-in tariff (FIT) make up the bulk of the offer, including 4,000 MW of pumped storage hydropower capacity, for delivery between 2028 and 2030.
The DoE will also offer 300 MW of impounding hydropower capacity for 2028-2030 delivery, and 100 MW of geothermal capacity for 2025-2027 delivery.
The FIT-eligible renewable energy technology projects include 75 MW of run-of-river hydro due for delivery between 2027 and 2029.
The GEA program aims to promote renewable energy as a primary source of energy, subject to competitive selection. The government is hoping to increase the share of renewable energy in the power mix to 35% by 2030 and 50% by 2040.
“These projects will play a crucial role in meeting the country’s growing electricity demand while ensuring that future power generation is increasingly sustainable,” the DoE said.
The GEA was first staged in 2022 and resulted in 1,996.93 MW worth of renewables being awarded. GEA-2 was held in 2023, with 3,440.756 MW awarded.
The Energy Regulatory Commission (ERC) will set parameters for each type of renewable energy facility covered in the GEA program via a price determination methodology (PDM).
ERC Chairperson and Chief Executive Officer Monalisa C. Dimalanta said that the commission is hoping to release the PDM early next month. — Sheldeen Joy Talavera
