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The Department of Energy (DOE), through the Green Energy Auction Bids Evaluation and Awards Committee (GEA-BEAC), conducted the first auction round of the Green Energy Auction Program (GEAP) in the Philippines last Friday (17 June).
There were 24 Qualified Bidders who participated in the auction. They will be competing for the 2000MW-capacity requirement that has been set for said auction round, which was done through an Electronic Bidding Platform. Of the 24 bidders, eight were from solar, another eight were from wind, seven were from run-of-river hydro, and one was from biomass.
The success of this competitive process will set the benchmark for future auction rounds, as the resulting Green Energy Tariff (GET) will reflect the value of electricity.
“The first green energy auction in the Philippines was held, which is a significant step in encouraging more power generation investments in renewable energy while protecting the interest of Filipino consumers – a testament to the country’s commitment to developing indigenous and clean sources of energy at competitive prices,” Energy Secretary and GEA-BEAC Chairperson Alfonso G. Cusi said after the auction.
Through the GEAP, the DOE paved the way for immediate and timely investments; supported the development of, and increased financing access for new or additional capacities under a competitive process; as well as implement programs that promote environmental sustainability, which will aid the country’s transition to renewable energy (RE).
“The teamwork among the members of the energy family and industry stakeholders is going a long way in our desire to utilize more sustainable supply sources to meet our electricity demands,” Secretary Cusi added.
The Program will also provide substantial support to the Mandated Participants of the Renewable Portfolio Standards (RPS) Program to ensure compliance with their minimum RPS requirements since the GEAP is perceived to trigger the increase of RE capacity in the country, which will help the government attain its energy transition goals.
Given that the GEA will be conducted on a yearly basis, RE Developers who were not able to participate in last week’s auction may file their intent in the succeeding rounds.