Philippines urges shift to renewable energy solutions

The Philippines is facing significant challenges in its energy sector. Rising electricity costs, frequent power shortages, and an outdated energy grid are threatening the country's stability and growth. To address these issues, policymakers must consider a new approach to energy that emphasizes sustainability, security, and equity. Historically, the Philippines has been a leader in renewable energy, reaching a high of 52 percent renewable share in 1984. However, after policy changes in 1986, the focus shifted to coal, which now generates over 60 percent of the country's power. Despite having vast renewable energy resources, the share from renewables has decreased to just 23 percent. The current strategy has relied heavily on baseload capacity, assuming constant electricity demand throughout the day. However, data indicates that demand peaks between 9 a.m. and 9 p.m., with significant fluctuations driven by seasonal changes. This inconsistency has led to inefficiencies, as coal power plants struggle to adjust to varying demands—resulting in unreliable service and frequent blackouts. Experts believe that a shift to a more flexible and distributed energy system is necessary. Investing in renewable energy sources, energy storage, and smart technologies can create a more resilient and cost-effective energy landscape. For example, renewable energy is often cheaper than coal, costing between P3 to P5 per kilowatt hour compared to P5 to P14 for coal. However, to fully integrate renewable energy, improvements in transmission infrastructure are essential. The current slow approval processes for necessary studies and the lack of interconnection points have delayed many projects. The Philippines' unique geography also offers opportunities for local energy solutions that can enhance resilience and expand access, especially in remote areas. Overall, there is a strong call for a fundamental shift in the energy strategy. Policymakers need to take decisive actions, investing in renewable projects to foster an energy transition and reduce dependence on fossil fuels, paving the way for a more secure energy future for the Philippines.