DOE partners with int’l bodies on RE integration

MANILA, Philippines - The Department of Energy (DOE) has partnered with the Climate Change Commission and the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) to study the integration of renewable energies (RE) into the grid of San Vicente, Palawan.

The move is part of efforts to reduce the high cost of electricity in off-grid areas, which are largely powered by diesel-run generators.

GIZ data showed that electricity from diesel generator sets cost over P20 per kilowatt-hour, higher than the average generation rate for an on-grid electricity of P5 to P6 per kwh.

“Considering the high cost of diesel based electricity production, renewable energies (RE) like hydro, solar, biomass and wind power represent an economic alternative for power supply in off-grid areas,” GIZ said.

To attract more investments in renewable energies in off-grid areas, the three institutions launched the study on RE integration in Palawan.

The study will look into knowledge exchange on RE potentials, technology options for hybrid schemes and mini-grids as well as the right framework conditions.

“The business forum on RE integration in San Vicente and Palawan should stimulate the overall discussion on how renewables can become a reliable and economic feasible source of energy for the power supply in Palawan,” GIZ said.

The DOE hopes to launch and share the results of the San Vicente RE Optimization Study and Business Model and replicate these in other areas around the country.

San Vicente is part of the area coverage of the Palawan Electric Cooperative (Paleco). It is not connected to the transmission backbone of Palawan. Paleco serves the municipality through a distributed energy system with power sourced from the diesel power plant operated by National Power Corp. (Napocor).