The DOE allows renewable energy developers to conduct studies before implementing a contract

Members of environmental groups are helping residents of Barangay Coring, Basilisa and Dinagat Islands to install solar panels in their barangay gymnasium. FILE PHOTO JILSON TIU/GREENPEACE

Renewable energy (RE) developers will be able to begin applying for permits and conducting feasibility studies before the official 25-year contract service begins, the Department of Energy (DOE) announced on Friday, June 14.

DOE has revised its collective guidance on renewable energy development to promote ease of doing business in this sector.

Department of Energy Undersecretary Sharon Garin said the country’s renewable energy industry is past its “infancy stage” as investment continues to flow.

“The Philippines is flooded with foreign investment in renewable energy, whether it is wind or solar. Indian everyday in its infancy period, when investors have to be persuaded to come to the Philippines. We don’t have to encourage them to come, and we don’t have to promote them to come. We have so many applications and so many contracts already issued,” Garin said.

The Department of Energy is confident that, with 1,300 existing service contracts in the renewable energy sector alone, the sector can produce up to 62 gigawatts of electricity and meet the government’s renewable energy target of 35% renewable energy by 2030 and 50% by year 2040.

“This is more than enough to cover our future needs,” Garin said.

Changes to the omnibus guidelines will also help filter out “serious and legitimate” developers who can commit to a set development timeline and budget.

Under the revised guidelines, the DOE will issue a certificate of entitlement to developers that will enable them to begin obtaining licenses from government agencies and conduct feasibility studies before commencing a service contract.

The use of fiscal incentives for duty-free imports has been simplified.

Developers can receive a Certificate of Registration after signing the contract, which will provide them with access to the benefits of duty-free imports.

DOE is also suspending the Energy Virtual One-Stop Shop (EVOSS) system to make way for improvements.

Whether the acceptance of new letters of intent and RE applications will be temporarily suspended, applications submitted before the suspension will continue to be considered.

The revised guidelines will enter into force on June 25, 2025. (ABS-CBN News)