The Department of Energy (DOE) generated 3,580.76 megawatts (MW) of renewable energy capacities that have been committed to deliver energy for the period 2024 to 2026 at a price that is lower than or equal to the Green Energy Auction Reserve (GEAR) Prices set by the Energy Regulatory Commission (ERC).
The ERC, on 15 June 2023, released the Final GEAR Prices for the GEA 2 for the following technologies: Php4.4043 per kWh for ground-mounted solar, Php4.8738 per kWh for the rooftop solar, Php5.3948 per kWh for the floating solar, Php5.8481 per kWh for onshore wind, Php5.4024 per kWh for biomass and Php6.2683 per kWh for the biomass waste-to-energy.
In the GEA 2 bidding conducted today, 03 July 2023, a total capacity of 1,968.982 MW has been committed for the construction of ground-mounted solar for 2024 to 2026.
For the rooftop solar, a total of 9.39 MW was committed for 2024 and 2025 while for the floating solar, 90 MW has been committed for its construction in 2026.
For onshore wind, a total of 1,512.384 MW has been committed for 2025 and 2026.
Meanwhile, there were no commitments received for the development of biomass and waste-to-energy projects.
The list of winning bidders will be posted on the DOE official website by 12 July 2023.
These winning bids were ranked based on offers from the lowest to highest bid prices and stacked corresponding to the respective RE technology per grid.
The Notice of Award will be released on 12 July 2023 while the Certificate of Award shall be issued to the winning bidders upon submission of post-auction requirements within a 60-day period as prescribed under the GEA-2 Terms of Reference. These include:
- Performance Bond;
- GEA-2 Affidavit of Undertaking to deliver the committed capacity; and
- For non-holders of a RE Contract prior to GEA-2 registration, a statement that the RE Contract has been executed.
Non-compliance with these requirements shall result in the forfeiture of the award and of the bid bond.
Through the GEAP, the Mandated Participants of the Renewable Portfolio Standards (RPS) Program are given substantial assistance to procure their energy requirements through a competitive process and ensure compliance with their minimum RPS requirements designed to continuously trigger the increase of RE capacity in the country. This will help realize the government’s target of 35% RE in the energy mix by 2030 and 50% by 2040.
As the GEA will be conducted on a yearly basis, the DOE encourages RE developers that were not able to win in the 2nd auction round, and those that were not able to submit offers, to participate in subsequent auction rounds.
