Manila: The Department of Energy (DOE) has terminated 84 renewable energy service contracts in 2025 due to developers' failure to fulfill their contractual obligations. These contracts encompassed an estimated 5,372.209 megawatts (MW) of potential capacity, which had been integrated into the country's energy planning assumptions.

According to Philippines News Agency, the DOE announced that the terminations were a result of developers' non-compliance with work program requirements, failure to adhere to the Green Energy Auction Program (GEAP) Terms of Reference, and non-conformance to established DOE standards. The DOE's decision followed a thorough technical and legal evaluation of the affected projects' compliance with the material terms and conditions of their respective service contracts.

The DOE emphasized its commitment to maintaining high standards for future GEAP rounds. It also warned of potential further sanctions, including blacklisting, forfeiture of performance bonds, and the imposition of applicable penalties for non-compliance. Additionally, 43 other renewable energy projects are currently under enforcement review and may also face termination.

With a significant portion of potential capacities remaining unmet, the DOE is actively revisiting supply-demand scenarios. It is undertaking further system planning to determine appropriate next steps toward meeting established generation targets. Energy Secretary Sharon Garin stated that while renewable energy development must progress swiftly, it also needs to be accountable. She emphasized that the DOE will not compromise on contract discipline, underscoring that service contracts are performance commitments crucial for delivering reliable power to Filipino consumers.