DOE Committed to Implement Mechanisms in the RE Law

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The Department of Energy (DOE) upholds the advancement of the implementation of the policy frameworks and programs under the Republic Act 9513 otherwise known as Renewable Energy (RE) Law of 2008, which supports the promotion of RE resources’ development, utilization and commercialization.

Energy Secretary Zenaida Y. Monsada said “We have a binding law which is the RE Law, and the DOE is mandated to implement it.” Sec. Monsada emphasized that the policies and programs currently being executed by the government have undergone stringent procedures following the guidelines provided under the law.

Following a series of stakeholders’ consultations nationwide since 2011, the DOE conducted on 16 June 2016 its 8th public consultation concerning the Renewable Portfolio Standards (RPS) at the Shangri-La Fort, Bonifacio Global City. This is in an effort to present the shared perspective on the provisions of the issuance for further fine tuning. The RPS refers to a market-based policy that mandates participating companies to source an agreed portion of their energy supply from eligible RE resources.

“The outcome in the discussions will help us finalize the Department Circular on RPS prior to its issuance,” said Sec. Monsada. She further stated that the DOE still welcomes position papers until 22 June 2016 from industry participants and stakeholders to ensure a holistic approach, and all suggestions are noted and heard. Copies of the proposed RPS issuance and comments and or recommendations submitted are available at www.doe.gov.ph.

Meanwhile, the implementation of the Feed-in Tariff (FIT) is in full swing consistent with Department Circular No. DC2013-05-0009 or “Guidelines for the Selection Process of RE Projects under FIT System and the Award of the Certificate for FIT Eligibility,” which outlines the procedure for the Certificate of Endorsement (COE) for FIT Eligibility (COE-FIT). The DOE issues the COE-FIT after undergoing validation and review of technical requirements.

Attached is the list of those with issued COE for FIT endorsed to the Energy Regulatory Commission (ERC). The increased capacity in COE FIT can be attributed to the completion of the second tranche of the 500 MW solar FIT installation target entitled to P8.69/kWh.

Sec. Monsada said "the DOE, through the Renewable Energy Management Bureau, has worked day and night to ensure that each eligible solar developer strictly followed the process and technical requirements." She added that the DOE assures the best interest of the public and all RE developers particularly in meeting the country's commitment towards sustainable and cleaner energy.

Pursuant to RA 9513 or RE Act of 2008, the government shall grant incentives through FIT scheme. Under the FIT System, qualified developers of emerging RE sources are offered at a fixed rate per kilowatt-hour (kWh) of their exported electricity to the distribution or transmission network. This scheme excludes the energy utilized from RE plants eligible for own use.

Along with the Net-Metering Program and RPS, FIT is one of the policy mechanisms provided in the law being implemented by the DOE to encourage the development of RE industry as it aims to maintain the share of RE of at least 30% in the country’s power mix.

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