Philippines Targets Over 100,000 Households for Microgrid Supply

THE Department of Energy (DoE) said it set a target of more than 100,000 households in remote areas to be potentially served by microgrids in the next project bidding round. In a statement on Wednesday, the DoE said it identified 369 unserved and underserved areas across 23 provinces for potential inclusion in the upcoming microgrid auction. The initial list allows prospective microgrid service providers to evaluate potential sites, assess project requirements, and prepare viable proposals, it said. The DoE identified about 101,468 unenergized households in Antique, Basilan, Bohol, Cagayan, Camarines Norte, Camarines Sur, Cebu, Davao Occidental, Dinagat Islands, Eastern Samar, Lanao del Sur, Marinduque, Masbate, Negros Occidental, Northern Samar, Palawan, Quezon, Southern Leyte, Sulu, Surigao del Sur, Tawi-Tawi, Samar, and Zamboanga del Sur. The list, however, remains subject to further validation, updating, and final determination by the DoE. “Through microgrid development, we want to bring reliable and affordable electricity closer to communities that remain unserved, while giving capable investors a clear pathway to help us deliver it,” Energy Secretary Sharon S. Garin said. The DoE is implementing a set of revised rules under the Microgrid Systems Act to make the competitive selection process (CSP) for microgrids more efficient, transparent, and attractive to investors. Republic Act No. 11646, or the Microgrid Systems Act of 2022, requires the DoE to conduct a CSP for potential concessionaires seeking to serve off-grid areas. Previous rounds returned lukewarm results, with investors citing the limited time available to prepare project proposals. To further improve project readiness and reduce development risk, the DoE tapped the United Kingdom’s Partnering for Accelerated Climate Transitions program to undertake studies. Under the technical assistance program, a site-specific assessment framework has been developed to support pre-feasibility studies and improve the evaluation and packaging of prospective microgrid projects. The DoE said it will issue a final list of unserved and underserved areas prior to each bidding round, aligning with the National Total Electrification Roadmap. Interested developers may submit unsolicited proposals for areas not included in a particular CSP round. The government aims to achieve total electrification by 2028. So far, around 94.93% of the country’s 30.28 million potential households have been energized. However, with the limited funding, achieving total electrification could stretch to 2043, according to the DoE. — Sheldeen Joy Talavera