The Energy Regulatory Commission (ERC) announced preliminary Green Energy Auction reserve (GEAR) prices for the second round of the Green Energy Auction (GEA-2) program involving rooftop solar, ground-mounted solar, floating solar, wind and biomass technologies.
The preliminary reserve prices are the ceiling amount for GEA-2 to be conducted by the Department of Energy this year, wherein interested RE producers will compete for incentivized fixed power rates by offering their lowest price for a certain capacity.
In a statement on Friday, ERC said preliminary GEAR prices for GEA-2 are P4.7156 per kilowatt hour (kWh) for rooftop solar; P4.2395 per kWh for ground-mounted solar; P4.7565 per kWh for floating solar; P5.9823 per kWh for wind; and P5.1475 per kWh for biomass.
Preliminary GEAR price for waste-to-energy technology will be posted at a later time, prior to the start of public consultations.
The ERC has set three separate public consultations this month to discuss the preliminary rates, for stakeholders in Luzon, Visayas and Mindanao.
For GEA-2, the capacity of projects needed to be completed by 2024 is at 3,600 megawatts (MW) which will be distributed to ground-mounted solar, roof-mounted solar, onshore wind and biomass technologies.
Another 3,600 MW will be auctioned for projects needed to be completed by 2025 for technologies also utilizing ground-mounted solar, roof-mounted solar, onshore wind and biomass.
A total of 4,400 MW is being auctioned for completion by 2026 for projects using ground-mounted solar, roof-mounted solar, floating solar, onshore wind, biomass and waste-to-energy.
Supply contracts will be for a 20-year period beginning from the date of the commercial operation of the projects. – Jed Macapagal
