THE Philippine Solar and Storage Energy Alliance (PSSEA) urged the Department of Energy (DOE) to conduct the fourth round of the Green Energy Auction (GEA-4), citing the negative effects on investor confidence of the delay in the bidding.
Theresa Cruz-Capellan, PSSEA chair, said in a statement over the weekend the “one-year gap in the scheduled auction has already sent jitters to potential investors.”
GEA-4 which involves more than 8,200 megawatts (MW) worth of renewable energy (RE) projects with energy storage system (ESS) components was originally planned before the end of 2024.
Though not yet finalized, the DOE earlier said GEA-4 will also involve projects utilizing liquefied natural gas, flywheel and pumped storage hydro.
“The industry strongly urges the DOE not to slide back and instead relentlessly pursue its net zero emission goals by ensuring the implementation of the contracting round for solar in the first quarter of 2025… Any further delay on the upcoming GEA-4 will have significant impact on the commitment of funders and partners,” Capellan said.
Under the current setup of GEA, interested RE producers compete for incentivized fixed power rates by offering prices that are lower than or equal to GEA reserve prices set by the Energy Regulatory Commission.
PSSEA said DOE’s inclusion of RE with storage capabilities for GEA-4 “will provide short-term solution and allow additional solar capacity into the grid.”
The group also said such efforts from the government will increase the share of solar in the country’s energy mix and the fulfillment of the goal to hold yearly RE auction “will greatly improve the credibility of this administration in their commitment to the transition goals.”
“…The share of solar in the energy mix forecasted for 2025 is encouraging as it remains to be the cheapest source of electricity and the fastest to install. Undoubtedly… 2025 will be another year of significance because of the pace of installation,” Capellan said.
Based on latest data available from the DOE, as of end-October 2024, total installed capacity of solar power projects connected to the grid is equivalent to 2,551 MW or 8.6 percent of the 29,967 MW total installed capacity from all types of power technologies for the period.
For the same period, the DOE also recorded 116 MW worth of own-use installed rooftop solar projects in the entire country.
