Think tank Center for Energy, Ecology and Development (CEED) has raised concern the Japanese government’s support is apparently moving in the opposite direction of the goal of the Philippines to transition to renewable energy (RE).
CEED’s comment came after the Japan Bank for International Cooperation (JBIC) announced it has signed a memorandum of understanding with three major energy firms for the rollout of the Japanese-led Asia Zero Emission Community (AZEC) platform in the Philippines.
Gerry Arances, CEED executive director, said in a statement that instead of pushing for RE technologies, AZEC has been promoting “detrimental energy” in “developing countries in Asia, particularly with fossil gas and unproven fossil-friendly technologies.”
JBIC partnered with local companies such as Aboitiz Power Corp., Metro Pacific Investments Corp. and San Miguel Corp. for projects that will be developed through the AZEC platform.
The three local companies are jointly pushing for new natural gas-fired power generating facilities in the country and are in talks to acquire the Philippines’ first liquefied natural gas import terminal owned by the Atlantic Gulf & Pacific Co.
“With this development, the Japanese government and by extension, the Philippine government are revealing a clear lack of commitment to a genuine renewable energy transition,” Arances said.
“This is unacceptable for a country facing some of the worst impacts of the intensifying climate crisis and where fossil fuel-based power generation is causing death and destruction in vulnerable communities,” Arances added.
CEED said since the Philippines is “abundant” with RE resources, a 100 percent transition is possible. It said government and the private sector should focus on this instead of putting up more natural gas capacities.
According to latest data from the Department of Energy, total installed RE capacity in the Philippines from solar, wind, hydro, geothermal and biomass technologies as of end-January 2024 stood at 8,417 megawatts (MW).
This is equivalent to 29.7 percent of the 28,291 MW entire installed capacity in the country for the period excluding energy storage systems.