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Friday, March 29, 2024

DOE prepares regulation on offshore wind development

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The Department of Energy said Friday it is crafting an executive order that will be submitted to Malacanang Palace to strengthen and rationalize the regulatory framework for the immediate offshore wind development.

“Because of the nascent nature of OSW, the President has approved the concept of an offshore wind one-stop shop through the issuance of an EO,” Energy Secretary Raphael Lotilla said. The DOE briefed President Ferdinand Marcos Jr. about the proposed EO before he left for the ASEAN Summit in Cambodia.

“The proposed EO would spell out the regulatory framework in building a robust OSW industry and covers a long-term vision, infrastructure development, investments, and sound policies,” Lotilla said.

Lotilla said the OSW roll-out requires processing through more than ten government agencies, apart from the DOE. The objective is to streamline the processes and requirements of these agencies and the grid operator.

Lotilla said critical to the timely and massive rollout of OSW farms is the development of a Marine Spatial Planning System aligned with the best international industry practice.

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MSP is a practical way to establish a more rational use of marine space and balance the demand for development with the need to protect the environment.

Lotilla said coordinating and simplifying the approval process for OSW development would involve various government agencies.

“Once the EO is in place, the timelines and processing of OSW applications will be incorporated in the existing Energy Virtual One Stop Shop System,” he said.

EVOSS is an online platform under the supervision of the DOE which enables a joint submission and synchronous processing of data and information relative to applications for energy projects.

The EVOSS Steering Committee is chaired by the President, with the Energy secretary as vice-chair.

The DOE will also revisit the OSW service contract to reflect reasonable timelines and divide it into clear phases.

These would include data acquisition, study phase and permitting; development plan, grid integration, and final investment decision phase; construction, installation, and connection phase; commissioning and production phase; and decommissioning phase.

The DOE has awarded 42 OSW wind service contracts with an indicated 31.5 gigawatts of installed capacity. The prime areas identified are Northern Luzon, Verde Island Passage, Northern Mindoro, and Southern Mindoro.

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