The Energy Regulatory Commission (ERC) has released the Green Energy Auction Reserve (GEAR) prices for the fourth round of the Green Energy Auction (GEA-4), scheduled for September.
The ERC, in Resolution No. 09 series of 2026, set the final GEAR-4 price for rooftop solar at P5.68 per kilowatt-hour, ground-mounted solar at P4.4832 per kWh, floating solar at P6.5258 per kWh, onshore wind at P6.0859 per kWh, and solar plus energy storage systems at P5.4028 per kWh.
The ERC stated it approved the GEAR-4 prices after thorough deliberation and careful consideration of various stakeholder views and comments, guided by the policy objectives in the Electric Power Industry Reform Act of 2001 and the Renewable Energy (RE) Act of 2008.
“In the determination of the representative projects and the resulting assumptions for each of the 41 parameters in the financial model, the commission was guided by the principle of efficiency and international benchmarks so that only the efficient costs of plants are passed on to the consumers,” the ERC said.
The ERC said it is mandated to protect public interest as it is affected by the rates and services of electric utilities, thus necessitating due diligence in setting the parameters and ultimately, the GEAR prices, while ensuring the continued viability of renewable energy producers.
The final rates are slightly higher than the preliminary GEAR-4 prices across the different types of RE sources, specifically rooftop solar at P4.7679 per kWh, ground-mounted solar at P4.1480 per kWh, floating solar at P5.9515 per kWh, onshore wind at P6.5134per kWh and solar plus energy storage systems (ESS) at P5.2835 per kWh.
The ERC said the rates also included an indexation formula and streamlined procedure for tariff adjustment implementation, as directed by Department of Energy (DOE) Department Circular 2025-06-0009.
However, the indexation will only occur once between the issuance of the certificate of award and the commencement of commercial operations of the winning bidder’s RE facility.
The DOE is auctioning a total of 10,472 megawatts of RE capacity under GEA-4 for delivery from 2026 to 2029. This includes 3,940 MW of ground-mounted solar, 42 MW for roof-mounted solar, 3,000 MW for floating solar, 2,390 MW for onshore wind and 1,100 MW solar plus ESS.
The DOE set the auction for GEA-4 on Sept. 2, 2025, and the issuance of the certificate of award to the winning bidders from Nov. 24, 2025, to Jan. 9, 2026.
The DOE stated that the implementation of GEA-4 “represents a major stride toward a more sustainable energy future for the Philippines.”
“With over 10 gigawatts of solar and wind capacity up for auction — targeted for commercial operations from 2026 to 2029 — this round aims to boost the RE share in the country’s energy mix, strengthen grid reliability, and ensure energy security,” it said.
GEA-4 not only promotes increased investment in RE but also affirms the DOE’s commitment to competitive, transparent and efficient energy procurement practices.
