BEIJING, CHINA — On 5 January 2023, President Ferdinand R. Marcos Jr. together with DTI Secretary Fred Pascual, DOE Secretary Raphael Lotilla, and the rest of the Philippine official delegation to China led the Roundtable Meeting on Renewable Energy (RE). It was also attended by Former President Gloria Macapagal Arroyo, House Speaker Ferdinand Martin Romualdez, Senator Imee Marcos, other members of the Cabinet, and Chinese companies in the Renewable Energy Sector.
Due to the policy reform implemented in December 2022 that lifted foreign ownership restrictions on RE generation projects, the Philippines saw a significant increase in investment interests. These are focused on solar and wind, but also include manufacturing of equipment such as wind turbine generator towers, foundations, blades, and other wind turbine parts.
Trade and Industry Secretary Fred Pascual emphasized the importance of the RE Sector in achieving economic development, “the energy sector is a vital driver of Philippine industrialization and economic growth. For industries to flourish in our country, we need a secure, resilient, and competitive supply of energy. In the face of climate change and the worldwide shift to green development, the Philippine government finds renewable energy to be a long-term solution to our sustainable development”, he said.
Likewise, he boasted that the Philippines now has a healthy and competitive business environment that will enable RE companies to thrive.
“Investors will find that the Philippines, with its geographical advantage, is home to abundant sources of renewable energy. On the policy front, investors will find it relevant that in our existing
Renewable Energy Act, foreigners can own up to 100% of renewable energy projects in solar, wind, and tidal energy. This should help the Philippines increase renewable energy’s share to 50% of its total energy supply by 2040″, Secretary Pascual shared.
Chinese RE companies have responded positively towards the Philippines’ policy directions and have conveyed their interest to invest and help the country realize its National Renewable Energy Program (NREP) 2020-2040 goals. In total, there are about USD13.76 billion worth of investments in the RE Sector in varying stages in the investment pipeline.
As issues involving climate change become even more pressing, investments in the RE sector will help the Philippines navigate the path towards a more sustainable business ecosystem. Further, the sector creates employment opportunities up and down the supply chain. ♦
Date of release: 05 January 2023