Where is the Energy Industry of the Philippines Going?

In a recent report published by Verne Energy, the Philippines has some exciting new trends and opportunities in the country’s energy sector.

Solar technology provides a strong economic option.

Renewable energy, particularly solar will continue to increase in capacity, with the Levelized Cost of Energy decreasing. Both of these are driven by residential and commercial demand which will continue to increase. We will also see more utility-scale solar.

Energy efficiency takes off.

With the Bureau of Investments including energy efficiency projects under the incentive program, projects will likely increase rapidly. Long-term, this may be dependent on how strict the Department of Energy will enforce mandates, however.

Hydrogen remains early stage.

Globally prices will drop, but the Philippines, at least for 2021, will remain in the exploratory stage.

Coal declines, geothermal surges.

The Department of Energy made waves with its moratorium announcement for greenfield coal-fired power plant projects. Globally coal is being phased out at a rapid clip. This may likely be the case for the Philippines too, while a lot of these assets may be transitioned to geothermal instead, which may provide investment opportunities now that foreign ownership capacities are increased.

You can read the whole outlook in its entirety here.