The Department of Energy (DOE) said Thursday it issued the notice of auction (NOA) and terms of reference (TOR) for the third round of the Green Energy Auction (GEA-3) which aims to accelerate the country’s transition to renewable energy.
The GEA-3 will target 4,475 megawatts of new renewable energy capacity, covering both non-feed in tariff (FIT)-eligible and FIT-eligible technologies.
It said the projects would play a crucial role in meeting the country’s growing electricity demand while ensuring that future power generation is increasingly sustainable.
“We are pleased to release the notice of auction and terms of reference of the GEA-3, a pivotal mechanism in accelerating our nation’s energy transition. By promoting competition and transparency, we are ensuring that the Philippines remains at the forefront of the global move towards a cleaner and more sustainable energy future,” DOE Secretary Raphael Lotilla said in a statement.
The DOE, however, did not give an auction date yet, as it is waiting for the release of the price determination methodology for the Green Energy Auction reserve price from the Energy Regulatory Commission.
Under the TOR, the DOE is auctioning 100 MW for geothermal projects for delivery in 2025 to 2027, 300 MW of impounding hydro for delivery from 2028 to 2030, 4,000 MW pumped storage hydro for 2028 to 2032 and 75 MW of run-of-river hydro for 2027 to 2029.
“By unlocking more capacity for renewable energy, GEA-3 provides a clear pathway to meet our electricity demands and in an environmentally sustainable way,” said Lotilla, underscoring the dual impact of the program on both energy security and environmental sustainability.
The supply contract for FIT-eligible renewable energy projects will be for 20 years, starting from the commercial operation date (COD). Non-FIT-eligible projects will also have a 20- year delivery period, beginning from their respective CODs.
Qualified suppliers wishing to participate in GEA-3 should register with the DOE by submitting the necessary documentation as outlined in the TOR.
The DOE said the GEA bids evaluation and awards committee would review the applications, and a list of qualified bidders would be published on the DOE’s official website prior to the pre-bid conference.
The registration of qualified suppliers will start three working days after the publication of the price determination methodology (PDM) and Green Energy Auction Reserve (GEAR) price by the Energy Regulatory Commission.
The TOR will govern the rules and procedures of the auction, including key elements such as auction design, bonds, instructions to bidders, bidding data, forms and templates and post-auction requirements of the GEA.
