Department of Energy Announces Winning Bidders for GEA-3
In an exciting development for renewable energy in the Philippines, the Department of Energy (DOE) has revealed the twelve potential winning bidders for its third Green Energy Auction (GEA-3). This auction is a crucial step forward, offering contracts for hydropower, pumped-storage hydropower, and geothermal energy projects. The announcement was made public in a notice of award on the DOE’s official website on June 9.
Breaking Down the Winning Bids: Hydropower Categories
The results of GEA-3 shine a spotlight on several notable hydropower projects. In the impounding hydropower category, two projects stood out: the Gened 1 and Gened 2 hydroelectric power projects. Each of these projects is set to deliver an impressive capacity of 150 megawatts (MW). These projects represent a significant enhancement in the region’s ability to harness hydropower, potentially contributing to sustainability goals in energy consumption.
Pumped-Storage Hydropower: Multi-Lot Winners
Pumped-storage hydropower emerged as a prominent focus in the auction, divided into different lots. In Lot 1, three substantial projects were awarded:
- Kibungan pumped storage – 500 MW
- Wawa pumped storage 1 – 600 MW
- Pakil pumped storage – 1,400 MW
These projects are designed to enhance energy storage capabilities and stabilize the grid, particularly during peak demand times.
In addition, Lot 2 saw an array of projects that further bolster the pumped-storage sector. This lot includes:
- San Roque lower east – 800 MW
- San Roque west – 800 MW
- Maton pumped storage – 2,000 MW
Lastly, Lot 3 introduced another contender:
- Aklan pumped storage – 250 MW
These large-scale projects signify a robust commitment to advancing energy solutions that are both efficient and environmentally friendly.
Geothermal Energy: A Growing Sector
Geothermal energy is also gaining traction, with three successful bids that underscore its growing importance in the renewable energy landscape:
- Mindanao 3 binary geothermal power plant expansion, phase 3-unit 1 – 3.69 MW
- Tanawon geothermal power plant-unit 1 – 21.5 MW
- Bago binary geothermal power plant – 5 MW
While these capacities may seem smaller compared to hydropower bids, they play a vital role in diversifying the energy mix and ensuring the reliability of power supply from renewable sources.
Regulatory Framework and Next Steps
What’s particularly interesting about the notice of award is its provision under the non-FIT green energy tariff (GET). This allows renewable energy developers to sell their power outside the traditional feed-in tariff (FIT) scheme, offering flexibility and potentially increasing profitability for the awarded projects.
According to the DOE, the winning bidders now have 15 days to submit a confirmation of acceptance of their awards, alongside their post-auction documents. This prompt follow-up is essential to ensure that these projects can progress quickly into the development phase, ultimately benefiting the energy landscape and the consumers.
The GEA-3 auction represents a significant step towards achieving cleaner and more sustainable energy solutions in the Philippines, showcasing a strong governmental commitment to renewable energy advancements.