Here’s to the hope more solar energy power is generated in the Philippines to help address the power needs of the country.
From Businessworld Philippines
June 05, 2014
ERC to revise FIT rates for renewable energy
THE ENERGY Regulatory Commission (ERC) will be revising a resolution that sets the feed-in tariff (FIT) rates for renewable energy projects to consider the increase in allocation for solar installation.
In a notice yesterday, the regulator said it “is in the process of formulating amendments… A Resolution Approving the FIT rates, in view of the Department of Energy (DoE) Certification (as attached) revising the solar energy installation target under the FIT System from 50 MW (megawatts) to 500MW.”
“In this regard, the ERC shall appreciate receiving inputs and comments”, and “all interested parties are invited to submit their comments on or before June 13,” the ERC said.
Under the FIT, renewable energy (RE) developers will dispatch the capacity of their projects to the grid at a premium rate for a period of 20 years.
The rates — approved in July 2012 — provides the following rates for RE technologies: run-of-river hydro, P5.90 per kilowatt-hour; biomass, P6.63/kWh; wind, P8.53; and solar, P9.68/kWh.
These were based on the installation ceilings — which limit the capacity of projects for each RE technology — that have been set by the department.
Originally, run-of-river hydro and biomass projects had 250 MW each; wind, 200 MW; and solar, 50 MW.
The Energy department decided to hike the allocation for solar projects to address supply problems during summer due to limited available power generation capacities.
“We are expecting better summer months in 2015 with the new plants that are coming in, but I cannot leave that to chance, so I want additional solar plants because the profile of solar fits summer,” Mr. Petilla said last month.
He noted that while some plants are scheduled to be operational by next year, some delays are still inevitable.
“So, while we simulated that we may not have a problem, we just want to make sure that we have enough capacity to accommodate increasing demand. Solar works best during summer, so that’s the most efficient,” he added.
Once the new rates are finalized, the ERC will issue a resolution to promulgate the changes. — Claire-Anne Marie C. Feliciano
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