By: Solarquarter

Philippine Energy Secretary Raphael P.M. Lotilla announced a significant milestone in the country’s renewable energy sector with the signing of an Implementation Agreement between the Philippine Department of Energy (DOE) and UAE-based renewable energy giant Masdar. The partnership aims to accelerate the deployment of renewable energy projects across the Philippines.

1 GW Renewable Energy Development by 2030

The Agreement, formalized on January 15, 2025, during the Abu Dhabi Sustainability Week, builds on the Memorandum of Understanding (MOU) signed between the Philippines and the UAE in November 2024. This collaboration sets the groundwork for the development of up to 1 gigawatt (GW) of solar, wind, and battery energy storage systems (BESS) by 2030, with a long-term goal of scaling up to 10 GW within a decade. The total investment is estimated at $15 billion.

The Agreement was signed by DOE Undersecretary Rowena Cristina L. Guevara and Masdar CEO Mohamed Jameel Al Ramahi, in the presence of Secretary Lotilla and UAE Minister of Industry and Advanced Technology Dr. Sultan Al Jaber, who is also Masdar’s Chairman.

Key Roles and Responsibilities

Philippine Department of Energy (DOE): Support Masdar in pre-development activities, technical studies, and securing approvals. The DOE will also facilitate investment incentives and tax exemptions.

Masdar: Lead the project development, managing commercial, technical, financial, and environmental aspects of the renewable energy projects.

Energy Transition and Green Auctions

Secretary Lotilla emphasized the transformative potential of this partnership, stating:

“Under President Marcos Jr.’s leadership, the Philippines is integrating renewable energy into its energy mix on an unprecedented scale, ensuring energy security while fostering sustainable growth and environmental stewardship. This collaboration sets a new benchmark for energy transition in the region.”

The DOE continues to push for greater renewable energy integration, including initiatives like Green Energy Auction 3 scheduled for February 11, 2025. This auction will offer 4,250 MW of pumped storage hydro, 300 MW of impounding hydro, and 100 MW of geothermal energy. Additional auctions combining renewable energy with storage systems, as well as offshore wind projects, are planned for later in the year.