The Department of Energy (DOE), through its Energy Utilization Management Bureau, recorded PhP 6.8 billion worth of energy efficiency investments based on the Annual Energy Efficiency and Conservation and Annual Energy Consumption Reports submitted by the Designated Establishments (DEs) for the compliance period of 2021-2022.
DEs refer to private entities in the commercial, industrial, transport, power, agriculture, public works, and other sectors identified by the DOE as energy-intensive industries based on their annual consumption from the previous year. Type 1 DEs have an annual energy consumption of 500,000 kWh to 4,000,000 kWh in the prior year, while Type 2 DEs have an annual energy consumption of more than 4,000,000 kWh for the previous year.
Energy efficiency investments include projects that use energy-efficient technologies and practices, which include new installation, upgrading, or retrofitting specific equipment or devices such as lighting retrofit, automated lighting control system or smart control system, Heating, Ventilation and Air-Conditioning (HVAC) upgrades, boiler replacement, and other similar devices or equipment. The DOE also recorded increased investment in Solar PV, Variable Frequency Drives (VFDs), Cogeneration System, District Cooling System, Pumping System, HVAC System, Compressed Air System, Smart Manufacturing System, and Building Energy Management System.
For Type 1 DEs, an investment of around PhP360 million were recorded while around 6.1 billion were recorded for Type 2 DES.
Meanwhile, a total of 4,782 DEs with an annual energy consumption threshold of more than 100,000 kWh equivalent recorded an investment of around PhP306 million.
“I am very pleased that our DEs are moving forward on EEC. These accomplishments bring multiple benefits for the companies such as enhancing the sustainability of the energy system, supporting strategic objectives for economic and social development, promoting environmental goals, and increasing prosperity,” Energy Secretary Raphael P.M. Lotilla said.
DEs are mandated to integrate energy management system policy into their business operation based on ISO 50001 or a similar framework. ISO 50001 is an international standard awarded to companies with an effective energy management system. It is geared toward businesses committed to disclosing and reducing their emissions and dedicated to developing a policy to make their operations more energy efficient.
DEs likewise set up programs to develop and design measures that promote energy efficiency, conservation, and sufficiency, including installing renewable energy technologies. They are mandated to conduct an energy audit by engaging a certified energy auditor once every three years and submit energy consumption reports to the DOE.
“Industry has a crucial role to play in our quest towards achieving a low carbon-intensive economy and more importantly, integrating this in their business models,” the Secretary added.