The Department of Energy (DOE) asked the National Electrification Administration (NEA) to facilitate a joint competitive selection process (CSP) for electric cooperatives to comply with renewable energy portfolio standards (RPS).
The Renewable Energy Act requires power industry participants to source a specified portion of their electricity from eligible renewable energy (RE) sources.
The DOE increased the minimum annual RE percentage requirement to 2.52 percent of the previous year’s net electricity sales for mandated participants. This is up from 1 percent previously and aims to ensure that RE targets under the Philippine Energy Plan (PEP) and the National Renewable Energy Program (NREP) are met.
The PEP and NREP set a target of at least 35-percent RE share in the total generation mix by 2030 and 50-percent by 2040.
“The joint conduct of a CSP to meet the RPS requirements of ECs serves the purpose of matching available and potential RE supply with demand, and providing ample leverage to ECs in terms of price by consolidating EC demand and securing a uniform rate,” the DOE said.
