Senator Juan Miguel Zubiri said Friday the Anti-Red Tape Authority (ARTA) should have “more teeth” in strictly enforcing the ease of doing business to encourage renewable energy (RE) investors to set up shop in the fossil-fuel-dependent Philippines.
Zubiri said renewable energy should flourish amid price spikes in oil triggered by international conflict, but bureaucratic red tape is discouraging business firms and investors.
“We can be the largest producer of hydro energy within the region of Southeast Asia. But do you know how difficult it is to put up a hydro plant in the provinces? Napakahirap (It’s so hard). So I really believe that we have a good law – the Ease of Doing Business – but we have to step up on enforcement,” Zubiri said in a statement, referring to Republic Act 11032 or the Ease of Doing Business Act of 2018 which mandates expedited periods for the application of permits and licenses.
The Philippines has untapped resource potential estimated at 13,097 megawatts for hydropower, according to the Department of Energy (DOE).
Zubiri said the Philippines should tap its large potentials such as solar, hydro and wind to lower electricity costs and tame inflation to become Asia’s leader in renewable energy.
“Mura na lang ang mga solar panels ngayon, pati pagtatayo ng (solar panels are cheaper now, and even putting up) hydro and wind energy plants. They are now cheaper to produce and operate,” he said. “We can bring down the prices of electricity hanggang PHP5 per kilowatt hour. But we just have to help these investors to make this a reality.”
According to the US-based National Renewable Energy Lab, the Philippines has an average solar resource potential of 5.1 kWh per square meter per day.
The International Renewable Energy Agency, meanwhile, said the country has 11,055 kilometers of land in areas where wind speeds reach 6.4 to 10.1 meters per second, ideal conditions to support more than 76,000 MW of potential installed capacity.
According to the DOE’s Summary of 2022 Power Statistics, renewable energy accounts for over a fifth or 22.13 percent of the total energy generation in the country in 2022 with 24,684 GWh (Gigawatt Hour) generated; while coal accounts for 59.56 percent or 66,430 GWh.
Of the total energy generated from renewable sources last year, the following is the breakdown according to classification of clean energy: geothermal, 10,425 GWh; hydro, 10,085 GWh; biomass, 1,322 Gwh; solar, 1,822 GWh; and wind, 1,030 GWh.
Under the DOE’s Power Development Plan 2020-2040, the country’s RE power generation mix is targeted to be at 35 percent by 2030 and 50 percent by 2040. (PNA)