The Philippines’ intensified efforts to integrate renewable energy into the grid have resulted in record-breaking capacity additions in 2024, surpassing the total renewable energy capacity installed over the past three years combined, the Department of Energy (DOE) announced.

In 2024 alone, the country added 794.34 megawatts (MW) of new renewable energy capacity, exceeding the combined 759.82 MW installed in 2021 (230.10 MW), 2022 (328.18 MW), and 2023 (201.54 MW). Additionally, the Net-Metering Program contributed around 141 MW from 2015 to 2024, while renewable energy projects for own-use from 2009 to 2024 generated at least an additional 252 MW.

These capacity additions have helped strengthened grid reliability and resilience, providing a more stable and secure energy supply for Filipino consumers. This achievement is a direct result of strong policy reforms, streamlined regulatory processes, and the government’s steadfast commitment to advancing clean energy. Investment-friendly mechanisms have also played a critical role in attracting substantial private sector participation, further accelerating the country’s transition to renewable energy.

"The unprecedented growth in renewable energy capacity last year is a testament to the effectiveness of the government’s renewable energy policies and the unwavering commitment of the administration of President Ferdinand Marcos Jr. to chart a more self-reliant energy future for the Philippines," Energy Secretary Raphael P.M. Lotilla said.

Key policy and regulatory enhancements have contributed to this rapid capacity addition. Among these, the integration of all applications and permitting processes for energy projects, including renewable energy, in the Energy Virtual One-Stop Shop System has improved the efficiency of application processing, allowing investors to navigate approval procedures more seamlessly.

Additionally, the increase in the minimum annual incremental renewable energy requirement from 1% to 2.5% starting 2023 for grid-connected mandated participants or the Renewable Portfolio Standards has led to a stronger demand for renewable energy, encouraging more capacity to be added to the grid.

Factors such as declining technology costs have also contributed to renewable energy capacity addition, as the significant decrease in the cost of solar panels --- driven by economies of scale and technological advancements --- has made renewables more competitive with fossil fuels.

To maximize the benefits of these renewable energy capacity additions and prevent stranded power generation, the DOE is continuously monitoring critical transmission line projects to ensure they are completed on schedule and can support the integration of additional renewable capacity. Further, the DOE is working with the Bangko Sentral ng Pilipinas and multilateral agencies to explore the use of innovative financing instruments that support environmentally sustainable projects, including renewable energy, energy efficiency, climate adaptation, and other low-carbon solutions. Additionally, the DOE is conducting investment promotions overseas to attract foreign investments.

"This milestone underscores our collective determination to accelerate the clean energy transition. With sustained collaboration, strategic investments, and policy support, we are confident in achieving our target of increasing the renewable energy share in the power generation mix to 35% by 2030 and 50% by 2040," Secretary Lotilla added.

As the Philippines continues its aggressive push for renewable energy, the DOE remains committed to implementing policies and initiatives that will strengthen energy security, attract investments, and ensure a sustainable and resilient power sector for future generations. ###

The Department of Energy (DOE) has issued Certificates of Energy Projects of National Significance (CEPNS) to a total of 149 power generation and transmission projects from May to December 2024, following the resumption of CEPNS issuance in October 2023.

These 149 certified projects are expected to contribute 19 gigawatts (GW) of additional power generation capacity --- 17.6 GW from 91 renewable energy projects and 1.5 GW from four conventional power plants. The DOE has also granted CEPNS to 29 transmission projects, 24 microgrid system projects, and one exploration project. Most of these projects are set to be completed in the next two to five years.

The issuance of CEPNS was suspended in December 2020.

In April 2024, the DOE issued Department Order No. DO 2024-04-0003 which redefines and revises the CEPNS framework to enhance its implementation.

Under the revised guidelines, major energy projects eligible for CEPNS certification are those identified in the Philippine Energy Plan, including power generation, transmission, distribution, and ancillary services essential for grid stability and load growth. The DOE shall also certify energy projects as energy project of national significance (EPNS) if they involve a significant capital investment of at least PhP3.5 billion.

Additionally, projects granted CEPNS will receive priority processing and expedited approvals from permitting agencies, government-owned and controlled corporations, local government units, and other relevant authorities. To further streamline regulatory processes, CEPNS holders may apply for required permits from multiple agencies simultaneously, without waiting for sequential approvals.

The revised framework also grants automatic CEPNS qualifications to renewable energy projects eligible under the Feed-in Tariff (FIT) System, those selected through the Green Energy Auction Program, and projects that support the country’s energy transition goals in line with DOE policies promoting clean energy.

CEPNS certifications likewise remain valid until the commercial operation date of the project.

From 2017 to 2020, prior to the suspension of CEPNS issuance, the DOE had approved similar 149 energy projects with a total investment of PhP795 billion. Among these, 133 projects have reached the commercial stage, while 16 are in pre-development. Based on monitoring reports from project proponents, 52 out of 133 commercial-stage projects have secured all required permits, while 4 out of 16 pre-development projects have completed their permitting requirements. The remaining projects are in various stages of permit applications, with 40 EPNS projects yet to secure any permits. Of the 149 previously certified EPNS, 57 are transmission projects in the commercial stage.

The DOE remains committed to ensuring the timely development of critical energy projects that support the country’s energy security, economic growth, and transition to a cleaner, more sustainable future. Under the CEPNS framework, more projects are currently under assessment.

"The timely development of critical energy infrastructure is essential to securing our nation's energy future. By facilitating investments in power generation and transmission in an efficient and timely manner, we are not only strengthening our energy security but also accelerating our transition to a cleaner, more resilient energy system," Energy Secretary Raphael P.M. Lotilla said. ###

The Department of Energy (DOE) is set to conduct the 4th auction round under the Green Energy Auction Program (GEAP), or GEA-4, as part of its ongoing efforts to accelerate the development and utilization of the country’s renewable energy resources. For the first time, GEA-4 will include the Integrated Renewable Energy and Energy Storage System (IRESS). In this auction round, IRESS shall only cover solar power plants integrated with Battery Energy Storage Systems (BESS).

The DOE will release the GEA-4 Terms of Reference (TOR) within February. The TOR will outline specific provisions and procedures for the auction process, covering technical, financial, and commercial aspects. It will also incorporate insights and lessons learned from previous auction rounds.

Each auction round's TOR includes key GEA instruments such as the auction design, bonds, instructions to bidders, bidding data, forms and templates, and post-auction requirements. To ensure stakeholder participation, the DOE will conduct a dialogue on the draft GEA-4 TOR to gather feedback from relevant parties

The draft Notice of Auction, TOR, and the schedule for the stakeholder dialogue will be published on the DOE website.

The GEAP is a key initiative in the government’s strategy to expand renewable energy capacity and achieve a 35% share of renewables in the national energy mix by 2030. It provides energy developers with opportunities to secure contracts that support the growth of the country’s sustainable energy production. ###

With the official campaign period set to begin next week, the Department of Energy (DOE) has activated the Energy Task Force Election (ETFE) to ensure energy resiliency during the 2025 mid-term elections.

Operating in close coordination with the Commission on Elections (COMELEC) and the Department of National Defense (DND), the Task Force plays a critical role in safeguarding the integrity and smooth conduct of the elections through strategic energy sector preparedness before, during, and after the electoral process.
In a recent meeting of the ETFE, Undersecretary Felix William B. Fuentebella directed the Task Force to ensure a stable and reliable power supply and sufficient fuel supply throughout the electoral period. Undersecretary Fuentebella, who concurrently chairs the Task Force on Energy Resiliency (TFER), emphasized the importance of contingency measures for any given scenario, including disruptions arising from natural disasters.
"Ensuring uninterrupted power during elections is crucial to upholding the integrity of the electoral process and maintaining public confidence. By prioritizing energy resiliency, the Energy Task Force Election plays a vital role in guaranteeing smooth and credible elections, free from power-related disruptions," said TFER Chair and Undersecretary Fuentebella.
To maintain vigilance, the Task Force will remain on standby throughout the election period, operating a centralized energy command hub to monitor and address potential power issues in real-time. This will ensure seamless coordination and swift response to any energy-related challenges that may arise.

Additionally, the Task Force members will implement proactive measures to ensure full readiness. These efforts include comprehensive inspections of key facilities and canvassing centers to identify and address potential vulnerabilities.
To strengthen preparedness, the Task Force is also coordinating closely with distribution utilities and electric cooperatives, aligning efforts to ensure a swift and effective response. Key measures include securing reliable backup power sources, replacing outdated electrical components such as fuse boxes and outlets, addressing transformer loads to prevent disruptions, and reinforcing uninterruptible power supply systems for servers to ensure seamless operations during any power fluctuations.
Further enhancing its preparations, the DOE is collaborating with the Department of the Interior and Local Government (DILG) to ensure the availability of critical backup resources, including generator sets and emergency lamps, at key locations nationwide.
“Safeguarding the energy needs of the country during the critical electoral process is our foremost concern and we have enlisted the full cooperation of all our stakeholders in the generation, transmission and distribution sectors in this endeavor to ensure that there would be enough power in days leading up to, during and in the immediate conduct of the elections,” said Undersecretary Fuentebella. ###

Energy Secretary Raphael P.M. Lotilla welcomes the investment by the Maharlika Investment Corporation in the National Grid Corporation of the Philippines (NGCP). “This is a step towards attaining our goal of ensuring security of supply, reliability, affordability, and promoting competition in the power sector,” he said.

Government investment in transmission is anchored on the Philippine Development Plan (PDP) 2023-2028 approved by President Ferdinand Marcos Jr. which states that the Government “should revisit and reevaluate financing investment in transmission.” The PDP recognizes that, “Investment in transmission expansion offers enormous potential benefits for efficiency by increasing access to low-cost generation, improving reliability, and counterbalancing market power.” (p. 280, PDP)

Transmission lines are vital to the power sector. New generation projects rely on transmission wires to deliver electricity to customers. The NGCP, as the country’s single biggest monopoly in the power sector, is responsible for the construction of those high- voltage wires and facilities, and the operation of the national grid system. The NGCP’s Transmission Development Plan indicates when transmission wires and substations will be operational and where. If these transmission facilities are delayed or their completion dates keep on moving, new generation plants will also be delayed, or they will be left stranded or unused even if ready to operate.

Given that 98% of NGCP projects completed between 2016 and 2024 were delayed, with some delays exceeding 9 years, Maharlika’s investment can help avoid such delays. Government investment in transmission would make additional capital available for NGCP to deploy in the pursuit of completing transmission projects on time.

Delays can inconvenience the public and cause significant damage to the economy. For example, in April 2023, Panay experienced an island-wide blackout and the NGCP gave assurance that this would not happen again because of the imminent completion of both the Mindanao-Visayas Interconnection Project and the Cebu-Negros-Panay 3 Project before the end of 2023. However, in January 2024, another island-wide blackout occurred in Panay as both the abovementioned projects remained unfinished.

Delays in completion of transmission projects not only increase the risk of power outages but also drive up electricity prices. The Independent Electricity Market Operator of the Philippines cited examples from just four key transmission projects which show large potentials for power price reductions had these been completed earlier.

For instance, had the Cebu-Negros-Panay 3 Project been completed earlier, electricity rates could have been reduced by PHP 1.27/kWh in Cebu, PHP 2.03/kWh in Negros, and PHP 1.74/kWh in Panay. In addition, if the Mindanao-Visayas Interconnection Project, which was delayed for 28 months, had been completed earlier, a reduction of PHP 1.99/kWh in Luzon, PHP 1.77/kWh in Visayas, and PHP 1.30/kWh in Mindanao could have been experienced by consumers. Although these projects’ timelines were affected by the COVID-19 Pandemic, these were not completed until well into 2024.

Similar conclusions could be drawn from other delayed projects. The timely completion of the Mariveles-Hermosa and Hermosa-San Jose 500 kV Transmission Lines would have reduced rates by PHP 1.47/kWh in Luzon. As for the Cebu-Bohol 230 kV Project, timely completion would have resulted in a PHP 1.24/kWh reduction for Bohol consumers.

The government’s investment in transmission is short of the United Kingdom’s (UK) decision to renationalize its transmission system operator last year. It will be recalled that the UK renationalized the British power system operator in September 2024 to support energy security, help keep bills down, and facilitate the entry of more renewable energy projects.

With two board seats each in NGCP and Synergy Grid & Development Philippines Inc., Maharlika can pave the way for better coordination between the DOE and the NGCP to help expand transmission connections in a timely manner and speed up the interconnection of our power grid across the archipelago. ###