Philippines ramping up renewable energy projects

Three million households lack access to electricity.

Energy rates are among the most expensive in Asia, placing a heavy burden on the 26% of the population that lives below the poverty line. Electric rates in Manila are US$0.23 per kilowatt hour, higher than Tokyo and Singapore, which both stand at US$0.20 per kWh.

A growing demand for energy has accompanied the Philippines’s economic growth, but supply can barely cope with the increasing demand that is projected to grow by 4% annually until 2015.

The Department of Energy (DOE) is ramping up renewable energy initiatives to cope with this situation. Its director of the renewable-energy management bureau, Mario Marasigan, said the department has two solar-powered projects in the pipeline and three wind farms and several hydropower plants to reduce Philippine dependence on fossil fuels.

Renewable energy currently accounts for 38% to 39% of the Philippines’ primary energy mix. Geothermal and hydropower plants each supply 14% of renewable power.

Other renewable sources such as wind, solar and biomass are still either underrepresented or nonexistent, and offer the largest potential.