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8/9/2019 7.2. Status of Wind Power Development in the Philippines and Drafting of the Wind Power Roadmap by v. Perez
1/15
Status of Wind Power Development
in the Philippinesand Drafting of the Philippines Wind
Next Steps
Vincent S. Prez
Chairman, AlternergyChairman, Merritt PartnersVice Chairman, National Renewable Energy Board
Quantum Leap in Wind Power in Asia: Structured ConsultationAsia Clean Energy Forum Pre-event Workshop
Asian Development Bank, 21 June 2010
The views expressed in this presentation are those of the presenter and do not necessarily represent those of the Asian Development Bank.
8/9/2019 7.2. Status of Wind Power Development in the Philippines and Drafting of the Wind Power Roadmap by v. Perez
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Existing Wind Power Projects
1.5MW wind-diesel hybrid project ofNational Power Corp., Mt. Samhao,Mahatao, Batan Island, Batanes
33MW wind farm project of NorthwindPower Development Corp., Bangui, IlocosNorte
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Milestones in Wind Power
Development, Philippines
Commercial
operation of1.5MW Basco
wind power
project of
National Power
Corp.
Commercial
Operation of
the 25MW
Bangui Wind
Farm of
Northwind
Power
Development
Passage of the
Renewable
Energy Act
Issuance of the
Implementing
Rules and
Regulations of
the RE Act
MOA between
DOE and BOI
Award of
Renewable
Drafting of FIT
Rules
Award of
Renewable
Renewable
Energy Policy
Framework
Additional
8MW in
Northwinds
capacity
200920082004 2005
orp.
2010
Contracts
Energy Service
Contracts
2002
Wind
Investment Kit
3
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Existing Capacity: 33 MW
Currently, the biggest wind powerproducer in SE Asia
Wind Regions:
Philippines Wind Resource Atlas750 MW of Wind Power Potential
4
atanes an a uyan s an
Northwest tip of Luzon (Ilocos Norte)
Higher interior terrains of Luzon, Mindoro,
Samar, Leyte, Panay, Negros, Cebu, Palawan,
Eastern Mindanao
East-facing coastal locations from N. Luzon
southward to Samar Wind corridor between Luzon and Mindoro
Between Mindoro and Panay
Source: DOE NREL Study
8/9/2019 7.2. Status of Wind Power Development in the Philippines and Drafting of the Wind Power Roadmap by v. Perez
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Wind Power Capacity Targets
800
900
1000903 MW
Philippine Energy Plan Update 2009-2030
5
0
100
200
300
400
500
600
700
2010 2015 2020
33 MW
199 MW
Source: DOE
8/9/2019 7.2. Status of Wind Power Development in the Philippines and Drafting of the Wind Power Roadmap by v. Perez
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Proposed Philippine
Wind Power Roadmap
Issues Proposed Actions
How do we ensure the sustainability of the
policies of the RE Act to be attractive enough to
encourage investments?
Establish attractive initial Feed in Tariff (FiT)
for onshore wind power projects
What additional policies should government Implementation of Rules on Renewable
Regulatory
adopt to increase off-take from wind power? Portfolio Standards, Net Metering, and
Green Energy Option
How do we incentivize NGCP to invest in
extending additional transmission lines to wind
corridors?
Assist NGCP in long term transmission
development planning to connect wind power
Promulgate a special transmission incentive forNGCP to construct transmission assets to inter-
connect wind power projects to the grid
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Proposed Philippine
Wind Power Roadmap
Issues Proposed Actions
How would the government promote micro
wind power use for household use?
Implement Net Metering for micro wind
turbines for residential installation
How would the government promote wind Implement FiT Rules for Off Grid Areas and
Off-grid and Micro
power use for Off Grid Areas? establish appropriate payment and settlement
mechanism for Off Grid Areas
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Proposed Philippine
Wind Power Roadmap
Issues Proposed Actions
How do we integrate wind power projects in the
Transmission and Distribution Development
Plan?
Inclusion in the Third TDP planning period for
2010-2015; active involvement of private sector
in the planning process
Technical
How do we strengthen the Philippine electricity
grid system to allow penetration of intermittent
power supply?
Include wind transmission issues in Grid Code,
assist NGCP in determining maximum allowable
wind penetration level
How do we facilitate easier interconnection of
wind farms into the grid?
Standardize a template interconnection
agreement between NGCP and wind developers
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Proposed Philippine
Wind Power Roadmap
Issues Proposed Actions
How do we develop local manufacturing
capability for wind turbine components?
Encourage investments in wind turbine
component domestic manufacturing, such as
steel towers and nacelles
Technology Transfer
How do we promote local expertise on wind
power operation and maintenance?
Enhance educational system in the tertiary level
to train mechanical and electrical engineers on
wind farm O & M
9
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Proposed Philippine
Wind Power Roadmap
Issues Proposed Actions
How do we encourage banks to be aggressive in
extending financing to wind power projects?
Training of local project finance lenders on
lending to wind power projects
How to facilitate increased access to financing Increase awareness and strengthen capacity of
Financing
by existing wind power projects? local lending institutions to open credit facilities
and increase access to funds for wind projects
10
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Proposed Philippine
Wind Power Roadmap
Issues Proposed Actions
Are the current institutions capable of
supporting and addressing the requirements of
a highly developed wind energy sector?
A program that would strengthen and develop
capacity building for the following agencies
should be implemented: DOE, ERC, WESM,
Transco, NGCP, ECs/DUs, LGUs and other
Institutional Capacity Building
, ,
universities, private developers
What simplified measure should be introduced
to facilitate FiT payment to wind farm
developers?
Draft a template of Renewable Energy Payment
Agreement (REPA) between NGCP and wind
farm developers
11
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Proposed Philippine
Wind Power Roadmap
Issues Proposed Actions
What is the Philippines actual wind resource
potential and where are the most viable wind
sites located?
Conduct an updated wind resource mapping to
come up with a Philippine Wind Resource Atlas
including onshore and offshore potential
Resource Assessment
12
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Proposed Philippine
Wind Power Roadmap
BY WHOM? WHEN?
Engaging the stakeholders actively Setting working timelines
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Possible Technical Assistance from ADB
Upgrade of the Philippine Grid Code
Training of project finance lenders Awareness campaign and capacity building of
local lendin institutions
Formulation of the Renewable Energy PaymentAgreement (REPA) between NGCP and windfarm developers
Conduct an updated wind resource mapping Net metering for micro wind turbines
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Thank you
Vincent S. PrezChairman, Alternergy
Chairman, Merritt PartnersVice Chairman, National Renewable Energy Board
Quantum Leap in Wind Power in Asia: Structured Consultation
Asia Clean Energy Forum Pre-event WorkshopAsian Development Bank, 21 June 2010