DOE eyes non-FIT eligible renewables for Green Energy Auction

By Kris Crismundo

February 12, 2024, 7:50 pm

MANILA – The Department of Energy (DOE) announced on Monday it will conduct the third round of Green Energy Auction (GEA-3) this year, focusing on renewable energy projects that are not eligible for feed-in tariff (FIT).

In a statement, DOE said there are estimated 4,199 megawatts (MW) of non-FIT eligible renewables -- 3,120 MW of which are from pumped-storage hydro, 699 MW from impounding hydro, and 380 MW from geothermal.

The DOE said the GEA-3 will also bid out run-of-river (ROR) hydro, which is an eligible renewable energy (RE) technology for FIT, with an estimated capacity of 200 MW.

It echoed that conducting the GEA-3 this year is a “push for increased utilization of the country’s renewable energy resources and attainment of energy security and reliability”.

Among the GEA-3-related activities this year include the publication of the notice of auction, terms of reference, and release of Price Determination Methodology for non-FIT eligible RE technologies and Green Energy Auction Reserve (GEAR) price for ROR hydro on April 29; start of registration of qualified suppliers on May 13; and posting of the list of qualified suppliers on July 4.

The auction will be held on Aug. 21. Posting of the notice of award for FIT eligible RE technology is set on Sept. 18 while the notice of award for non-FIT RE eligible technologies will be announced on Dec. 10.

The DOE targets the delivery commencement period (DCP) for impounding hydro and pumped-storage hydro from 2028 to 2030, while DCP for geothermal is eyed between 2024 and 2030.

DCP for ROR hydro is being targeted from 2026 to 2028.

“Through the administration of the GEA-3, the DOE is not only paving the way for a more sustainable future but is also ensuring a transparent and competitive selection of RE facilities,” DOE added. (PNA)