The Department of Energy (DOE) signed a memorandum of agreement (MOA) with the Department of Environment and Natural Resources (DENR), granting developers rights to use offshore areas covered by offshore wind energy (OSW) service contracts, including auxiliary areas to accelerate OSW exploration, utilization and development.
“This MOA is a crucial step in realizing the goal of the administration of President Ferdinand Marcos Jr. to deliver the first kilowatt-hours from offshore wind projects by 2028. By streamlining the process for accessing critical areas, we are paving the way for a rapid and responsible rollout of offshore wind projects, which will contribute significantly to our clean energy transition,” said Energy Secretary Raphael Lotilla.
The MOA allows access to both offshore and auxiliary areas or areas needed to support the OSW during the pre-development/exploration, development and commercial development phases, subject to necessary DENR requirements.
The DOE will provide the DENR with a list of identified OSW projects within 30 days of the execution of the MOA. The list will be regularly updated, in collaboration with the DENR, to reflect new OSW energy service contracts and development activities.
The DOE issued 92 OSW service contracts with potential capacity of 65.049 gigawatts as of March 25, 2024.
The parties said that if an area falls within an environmentally critical zone or is subject to prior vested rights, the DENR may impose additional conditions or deny access altogether.
The agreement streamlines the process of exploring, utilizing, and developing OSW projects, while ensuring that environmental safeguards are in place at every stage.
Under the current system, renewable energy projects are required to secure various compliance with the DENR, such as foreshore lease agreements, forest land use agreements, and miscellaneous lease agreements, before proceeding with exploration and development.
