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STATUS OF WIND DEVELOPMENT in the PHILIPPINES

STATUS OF WIND DEVELOPMENT in the PHILIPPINES. JOSE M. LAYUG, JR. Undersecretary. 2010 PRIMARY ENERGY MIX. Total Energy = 40.73 MTOE Self-Sufficiency = 57.5%. POWER SECTOR. 2010 INSTALLED CAPACITY. RE = 33.25% (5,439 MW). POWER SECTOR.

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STATUS OF WIND DEVELOPMENT in the PHILIPPINES

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  1. STATUS OF WIND DEVELOPMENT in the PHILIPPINES JOSE M. LAYUG, JR. Undersecretary

  2. 2010 PRIMARY ENERGY MIX Total Energy = 40.73 MTOE Self-Sufficiency = 57.5%

  3. POWER SECTOR 2010 INSTALLED CAPACITY RE = 33.25% (5,439 MW)

  4. POWER SECTOR 2010 GROSS POWER GENERATION Self-sufficiency = 38,948 GWh (62.89 %) RE = 26.31% (17,823 GWh) Note: Generation data includes grid connected, embedded, and off-grid generators

  5. Wind EnergyResources 1 2 Over 10,000 km² with 76,600 MW of potential capacity 3 6 Identified Regions 4 • Batanes and Babuyan Island • Northwest tip of Luzon (Ilocos Norte) • Higher interior terrain of Luzon, Mindoro, Samar, Leyte, Panay, Negros, Cebu, Palawan, Eastern Mindanao and adjacent islands • Well-exposed east-facing coastal locations from Northern Luzon southward to Samar • The wind corridors between Luzon and Mindoro (including Lubang Island) • Between Mindoro and Panay (including the Semirara & Cuyo Island) 5 6

  6. Identified potential sites with power density of at least 500 W/m2 and transmission line cost of not over 25% of levelized cost of combined generation and transmission costs. Philippine total potential is about 7,400 MW covering 1,038 wind sites: Luzon : 686 sites; 4,900 MW Visayas : 305 sites; 2,168 MW Mindanao : 47 sites; 336 MW Wind EnergyResources

  7. OTHER RE RESOURCES Geothermal Resource – 1,200 MW Hydropower - 10,500 MW Solar Energy – Average potential 5kWh/m2/day Ocean energy - 170,000 MW Biomass (bagasse) total potential of 235.7 MW

  8. 2011 2015 2020 2025 2030 • RA 9513 is in full swing • FIT for wind is viable (on-grid & off-grid) • Transmission Development Plan • Distribution Development Plan • Wind power reached Grid Parity • Smart Grid Demo 2012 2015 2025 DEVELOP WEP IMPLEMENT & UPDATE WEP PLANS, PROJECTS & ACTIVITIES WIND ENERGY ROADMAP M I L E S T O N E S Mainstreaming of 1,540 MW (3.372 TWH) wind capacities (US$3.85 B) Annual CO2 emission reduction - 2.529 Million Tons (US$12.7 M) Generated jobs – 1,280 M A J O R S T R A T E G Y

  9. REGULATORY FRAMEWORK

  10. REPUBLIC ACT 9513Renewable Energy Act of 2008 AN ACT PROMOTING THE DEVELOPMENT, UTILIZATION AND COMMERCIALIZATION OF RENEWABLE ENERGY RESOURCES AND FOR OTHER PURPOSES Provides the following: • Fiscal incentives • Non-fiscal incentives • Institutional support

  11. FISCAL INCENTIVES

  12. Renewable Portfolio Standard (RPS) refers to a market-based policy that requires electricity suppliers to source an agreed portion of their energy supply from eligible RE resources; NON-FISCAL INCENTIVES • Feed-In Tariff System • refers to price premium for the wind, solar, ocean, run-of-river hydropower and biomass generated electricity;

  13. Green Energy Option to establish a program which provides the end-users the option to choose RE resources as their sources of energy; NON-FISCAL INCENTIVES • Net Metering for Renewable Energy • refers to a system, appropriate for distributed generation, in which a distribution grid user has a two-way connection to the grid and is only charged for his net electricity consumption and is credited for any overall contribution to the electricity grid;

  14. National Renewable Energy Board Renewable Energy Management Bureau RE Trust Fund Financial Assistance Program INSTITUTIONAL SUPPORT

  15. STATUS OF RA 9513

  16. Awarded Projects * - Pre-development cost

  17. Pending Applications

  18. PROPOSED NREB FIT RATES

  19. WAY FORWARD Development of guidelines for the following mechanisms: • Renewable Portfolio Standard • Net metering • RE Trust Fund • Feed-in Tariff Rates • Green Energy Option • RE Registrar/Market

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