Philippines’ Marcos Renewable Energy Plans Encouraging
But dependence on coal, corruption problems, other issues get in way
By: Tim Daiss
Philippine President Ferdinand Marcos Jr has made healthy moves to attempt to shift his country away from reliance on fossil fuels, in December 2022 authorizing full foreign ownership in renewable energy projects, a nearly unprecedented move in Southeast Asia. Foreign investors can hold 100 percent of equity in the exploration, development, and utilization of solar, wind, hydro, and ocean or tidal energy resources. Foreign firms already operating in a joint venture with a Filipino partner may also take a controlling stake in such ventures. Previously, foreign firms were limited to 40 percent of an energy project, with the balance being held by a Filipino firm or citizen.
But the country has a long way to go, remaining the region’s largest coal importer, taking in some 37 million tonnes in 2023, an increase of 4.4 million tonnes from the previous year, according to Philippine Department of Energy data. Most ASEAN members still overly rely on fuel. The worst coal-burning violators after the Philippines are Vietnam, Cambodia, and Indonesia.
Coal accounts for a problematic 60 percent of Philippine power generated, with natural gas making up 17.7 percent. Renewables account for 23.4 percent of the energy mix although of the renewables used, a large share is still hydropower. With the country lying on the so-called Ring of Fire, it is the world’s second-largest geothermal producer after the United States, with installed geothermal generating capacity comprising 8 percent of capacity…