May 4, 2024
Mandaue City, Cebu—The Green Energy Option Program (GEOP) emerges as a tangible pathway towards an affordable, reliable, and decarbonized energy system in pursuit of an energy-secured and sustainable future for all Filipinos.
The Department of Energy (DOE) affirmed this during their second leg of Information, Education, and Campaign (IEC) on GEOP and Other Renewable Energy Voluntary Programs, in partnership with the United States Agency for International Development—Energy Secure Philippines, at Mandaue City, Cebu on 25 April 2024.
“[The IEC roadshow] determines the need to revisit the policy or make necessary amendments to make GEOP more responsive, not just in achieving our targets of increasing the share of renewable energy in the power mix by 35% in 2030 and 50% in 2040, but to also cater to the needs of the end-users,” Liza Pangilinan, OIC-Chief Science Research Specialist of the DOE, said.
Renewable energy landscape in the Philippines
The Renewable Energy Act, which created mechanisms like GEOP, is a powerful policy to accelerate the development and utilization of renewable energy in the Philippines.
The DOE reported that the law yielded an additional renewable energy capacity of 2,707 megawatts, thereby reducing greenhouse gas emissions to around 29 million tons of carbon dioxide equivalent each year. The Philippines has also recorded a total investment of PhP279.5 billion in renewable energy while creating an estimate of more than 357,000 green jobs.
However, fossil fuels remain dominant at 77.9%. The share of renewable energy in the power mix diminished from 33.9% in 2008 to 22.1% in 2022 despite attempts to accelerate and incentivize renewable energy in the Philippines. The DOE calculated that an estimated 56 gigawatts of renewable energy must be installed to reach the country’s energy targets.
Affordability, accessibility, and reliability of GEOP
GEOP stands out as a program under the Renewable Energy Act with its vast potential to accelerate renewable energy access nationwide. It empowers consumers to choose 100% renewable energy sources, eliminating upfront capital costs.
“With GEOP, we have the power of choice to choose renewable energy as supply at a least cost, contribute to the growth of the renewable energy industry in the country, foster a cleaner and sustainable environment, and support national and global decarbonization goals,” the DOE explained.
Delfingen PH and Philippine IINO Corporation, two companies that have already switched to renewable energy through GEOP, shared their stories of gains to encourage fellow business enterprises and locators in the ecozone to consider participating in the program.
Niñolito Rodrigo, the Maintenance Manager of automotive supplier and manufacturer Delfingen PH, said that they gained approximately PhP3.7 million in power cost savings and reduced 1,862 kg carbon dioxide equivalent of emissions since their switch in October 2022.
Zandro Flores, Facilities Manager of automotive parts manufacturer Philippine IINO Corporation, shared that they saved around half a million pesos per month on their electricity bill after transitioning to renewable energy through GEOP in March 2022.
Both switchers assured other businesses that GEOP guarantees reliable power, ensuring cost-efficient technical operations.
Improving GEOP implementation in the country
The RE Energize PH Survey Report of The Climate Reality Project Philippines, which was presented during the event, urged the DOE and the Energy Regulatory Commission (ERC) to consider lowering the GEOP energy requirement threshold and implement guidelines on aggregation.
“Our government should ensure connectivity and dispatch of renewable energy from Luzon, Visayas, to Mindanao for GEOP end-users,” Mary Jane San Juan, Communication Officer of Climate Reality Philippines, added.
The survey also suggested establishing a platform where renewable energy suppliers and consumers can exchange knowledge, experiences, and challenges regarding GEOP. In line with this, Climate Reality Philippines is organizing regional GEOP conferences for various business industries and sectors in the coming months.
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