President Marcos Jr. on Wednesday promoted the Philippines as a renewable energy hub for Singaporean businesses as he laid out the various efforts of his administration not just to lower electricity rates but to also ensure a steady supply.
The President, at a roundtable meeting with members of the business sector at the sidelines of the 10th Asia Summit in Singapore, said foreign investors can now enjoy 100 percent equity in the exploration, development, and utilization of solar, wind, hydro, and ocean or tidal energy resources.
“The policy change comes as the Philippines seeks to attract foreign investments to boost the renewable energy sector and to meet our long-term climate targets. With this development, I encourage our Singapore partners to consider the Philippines and take part in the country’s goal of increasing renewable share in power generation and offering lower cost and cleaner energy to the general public,” Marcos said.
The country has committed to increase the renewable energy share in the country’s power generation as part of its commitment in the fight against climate change.
“The Philippines is embracing renewable energy, welcoming 100 percent foreign ownership of renewable energy projects. To clarify that, the new law, the Public Service Act, allows now, which was not really allowed before, allows now fully 100 percent foreign ownership when it comes to renewable energy,” the President said.
Marcos said the Department of Energy, last year, released a circular which modified the implementing rules and regulations of our country’s Renewable Energy Act and eliminated previous Filipino ownership requirements related to the exploration, development, and utilization of solar, wind, hydro, ocean, and tidal resources.
At the event attended by business leaders and economic managers, Marcos emphasized the healthy bilateral ties between the Philippines and Singapore, which even flourished amid the global pandemic.
He also talked of the increase in people to people exchanges between the two countries and how many Filipino professionals now live and work in Singapore.
Also at the roundtable discussion was Trade Secretary Alfredo Pascual who underscored the promising prospects in the startup ecosystem in the Philippines.
Pascual also highlighted that the rich mineral deposits in the Philippines present opportunities for Singaporean companies to establish hubs for processing green metals, which are integral in manufacturing electric vehicles, renewable energy systems, and battery technologies.
The President acknowledged Singapore as the largest source of foreign investments in the Philippines with exports to Singapore $4.91 billion in 2022.
Prior to the roundtable meeting, the President addressed the 10th Asia Summit Fireside Chat organized by the Milken Institute’s Asia Summit where he also invited potential investors to the Philippines, emphasizing that the country is now open for business.
He also highlighted the government’s 8-Point Socioeconomic Agenda aimed at reinforcing the economy’s steady recovery and high growth trajectory, and to further promote infrastructure, achieve energy security, create jobs, and develop priority industries.
He also touted the Maharlika Investment Fund (MIF) which is said is the Philippine government’s way of “tapping the country’s reserve for investment without increasing borrowings.”
The President said money can’t just sit in the bank and do nothing.
Marcos said “it must work,” and “that’s our way of putting it to work”.
He said the Maharlika Fund is designed to consolidate investible funds from government financial institutions to further drive economic development through strategic investments both domestically and overseas.
He said it also allows the government to partner or collaborate with the private sector or even with other governments for projects and investments, especially in infrastructure, energy and healthcare, “without a worrisome increase of our borrowings and with hopefully a sufficient fund.”
Marcos is the first sitting president to address the Asia Summit.
The Asia Summit 2023 focuses its discussions on issues about peace and stability, inequality, cultural differences, and irreparable environmental damage.
