https://arab.news/j6k52
- Coal still accounts for over half of Philippines’ power generation
- Cooperation with Masdar will provide up to 1 GW of clean power by 2030
MANILA: The Philippines is on track to achieve its energy transition goals following a $15 billion renewable energy deal with UAE’s state-owned energy firm Masdar to develop solar, wind and battery energy storage systems.
Manila has been working to reduce its reliance on fossil fuels and aims to increase the share of renewable sources in the energy mix from around 22 percent currently to 35 percent by 2030 and 50 percent by 2040.
The deal with Masdar, which was signed last week in Abu Dhabi, will provide up to 1 gigawatt of clean power by 2030, with plans to scale up to 10 GW by 2035, according to the Philippines’ Department of Energy.
“This collaboration will significantly advance our goal of achieving 35 percent renewable energy in power generation by 2030,” Philippine Energy Secretary Raphael Lotilla said in a statement.
The new partnership followed President Ferdinand Marcos Jr.’s inaugural visit to the UAE last November, which saw the two countries signing various new agreements, including in investment, artificial intelligence and energy transition.
The deal with Masdar will not only increase energy security in the Philippines but also deliver “significant economic benefits” for the country as it creates new jobs and drives technology transfer, Lotilla said.
“Together, we are positioning the Philippines as a regional leader in sustainable energy.”
The project also marks Masdar’s entry into the Philippines’ renewables market.
The Southeast Asian nation has been exploring clean and sustainable options to generate power as the country regularly suffers outages and faces high tariffs. Coal is the main source of electricity in the Southeast Asian state, accounting for more than half of its power generation.