ERC releases final Green Energy Auction Reserve prices

By Alena Mae S. Flores

THE Energy Regulatory Commission said Friday it released the final Green Energy Auction Reserve prices for the second phase of the program that will be conducted by the Department of Energy.

It adjusted the rates to reflect the concerns raised by renewable energy developers during the series of consultations.

The agency set the GEAR price for ground-mounted solar at P4.4043 per kilowatt-hour, rooftop solar at P4.8738 per kWh, floating solar at P5.3948 per KWh, onshore wind at P5.8481, biomass at P5.4024 and biomass waste-toenergy at P6.2683 per kWh.

The final rates were higher than the preliminary rates for rooftop solar at P4.7156 per kWh, ground-mounted solar at P4.2395 per KWh, floating solar at

P4.7565 per kWh and biomass waste at P6.4968 per kWh.

However, the final rate was lower for biomass and wind, compared to the preliminary rates of P5.1475 per kWh and P5.9823 per kWh, respectively.

“After thorough and due deliberation, and after careful consideration of the various views and comments submitted by stakeholders and guided by the policy objectives in the EPIRA and the RE Act of 2008, the commission, on June 14, 2023, approved the Final Green Energy Auction Reserve prices for the second round of Green Energy Auction,” the ERC said.

The issuance is pursuant to the DOE’s Department Circular No. DC2021-110036, providing the revised guidelines for the Green Energy Auction Program, where the ERC will determine the

GEAR prices which are the ceiling price offers in the auction.

RE developers said the Philippine energy system is in a critical stage of decarbonization as the government auctions over 11,000 MW of clean energy for deployment from 2024 to 2026.

“The volume is impressive as it beats other Asian countries except China. However, the true test will be in the participation of the bidders given the proposed tariff, especially for solar which constitutes half of the target installation,” said Philippine Solar and Storage Alliance chairperson Tetchi Capellan.

“The first round of auction failed to attract the major energy stakeholders in the solar space due to low bid price. Let us watch how this year will turn out and if bidders will have a different profile,” Capellan said.

Pse Index Closing

Tetangco was the third Governor of the BSP and chairman of the Monetary Board who served for two consecutive six-year terms from July 2005 to July 2017. He was a career central banker for over four decades, having joined the BSP in 1974.

He graduated from Ateneo de Manila University with an AB Economics degree and obtained his Masters in Public Policy and Administration from the University of Winconsin.

He is concurrently an independent director of various listed companies, including Belle Corp., SM Prime Holdings Inc., Converge ICT Solutions Inc. and Pilipinas Shell Petroleum Corp.

Meanwhile, Sio was a longtime chief finance officer of SMIC prior to his appointment as chairman in 2017.

PROPERTY developer Megaworld Corp. disclosed a capital expenditure program of P350 billion from 2023 to 2027 primarily to build more townships across the country and roll out more residential, office, retail and hotel projects.

Megaworld said in a disclosure to the stock exchange it earmarked P55 billion for 2023 capital expenditures.

The five-year capex is primarily intended to develop townships in new growth areas outside Metro Manila, particularly CALABARZON, MIMAROPA, Northern Luzon and some parts of the Visayas and Mindanao, it said.

“This capex program will allow Megaworld to set its sight on various opportunities in building townships or mixed-use lifestyle communities, which is already the strength of our company,” Megaworld chief strategy officer Kevin Tan said.

GSIS-SM TREATS. In celebration of the 86th anniversary of the Government Service Insurance System on May 31, its 2.5 million members and pensioners may avail of special discounts and offers in participating SM Supermalls for the whole month of June 2023. Signing the partnership agreement at the GSIS head office in Pasay City on June 15 are (from left) SM Prime Holdings Inc. senior vice president for mall operations Bien Mateo, GSIS president and general manager Wick Veloso and GSIS trustee and SMPHI senior assistant vice president for mall based business units and operations services Rachel Queenie Dizon-Rodulfo.