Manila: The government's green energy auction (GEA) program is driving investments in the Philippines' renewable energy (RE) sector, boosting the bid to increase the share of national sources in the country's energy mix.

According to Philippines News Agency, DOE data show that as of 2024, the total installed RE capacity in the country is around 8,000 megawatts (MW). Last year alone, installed RE capacity posted a record 794.34 MW. In a briefing on Wednesday, Department of Energy (DOE) Undersecretary Dr. Rowena Cristina Guevara stated that the government is set to auction 19,000 megawatts of RE capacity this year.

Dr. Guevara highlighted that there is a growing interest from local banks in investing in renewables, largely driven by the green energy auction program. The DOE aims to increase the share of RE to 35 percent of the country's total energy mix by 2030, and to 50 percent by 2040.

Currently, the majority of RE capacity in the Philippines is derived from hydro, geothermal, wind, and solar sources. The DOE recently released the list of bidders who accepted the bid awards under GEA-3, which is expected to provide a total capacity of 6,677.218 MW to be delivered between 2025 and 2035.

The bidders include Pan Pacific Renewable Power Philippines Corp, which accepted the award for three hydroelectric power projects in Apayao province; Coheco Badeo Corporation for a 500 MW Kibungan Pumped-Storage HPP in Benguet; Olympia Violago Water and Power, Inc. for the 600-MW Wawa Pumped-Storage 1 HPP in Rodriguez, Rizal; and Ahunan Power, Inc. for a 1,400-MW Pakil Pumped-Storage HPP in Pakil, Laguna.

Additionally, San Roque Hydropower, Inc. is set to undertake three pumped-storage projects in Itogon, Benguet and Malay, Aklan, while the Energy Development Corporation will manage two geothermal facilities in Bago City, Negros Occidental and Sorsogon City, Sorsogon.

The DOE also announced a dialogue with key players in the offshore wind sector, scheduled for June 30, 2025, following the release of the Draft Terms of Reference (TOR) and Notice of Auction (NOA) for the 5th round of the GEA-5 on June 11. Dr. Guevara emphasized the importance of this dialogue in fostering a collaborative understanding of the draft NOA and TOR, allowing stakeholders to contribute to their refinement.