Napocor, GPCCI team up for green hydrogen project

MANILA, Philippines — The National Power Corp. (Napocor) and the German-Philippine Chamber of Commerce and Industry (GPCCI) have teamed up to embark on a feasibility study on green hydrogen and fuel cell technologies in off-grid areas of the country.

Napocor president Fernando Martin Roxas said the partnership would explore the potential of green hydrogen and fuel cell technologies in areas not connected to the national grid.

The collaboration aims to promote knowledge transfer, modernization opportunities, and the economic achievement of clean and affordable energy.

“With our mandate to provide electricity to rural areas and our commitment to optimizing power generation assets, this collaboration presents an opportunity to modernize power systems and reduce emissions. We believe this feasibility study will pave the way for a sustainable and climate-friendly energy transition in the Philippines,” Roxas said.

The feasibility study seeks to support the modernization of power generating assets in off-grid areas by exploring the potential replacement of diesel-powered systems with green hydrogen and fuel cell technologies.

The country’s off-grid islands are powered mostly by diesel plants through the Napocor Small Power Utilities Group (SPUG).

Napocor, as mandated by the Electric Power Industry Reform Act of 2001, is tasked to perform missionary electrification in the farthest communities and islands not connected to the main grid.

The corporation operates 281 SPUG plants in 189 municipalities across 35 provinces in the country.

“The Philippines is experiencing rapid growth in energy demand, and the existing fossil fuel power generation capacity is unable to keep up with this growth in an environmentally friendly manner,” GPCCI president Stefan Schmitz said.

“In light of the challenges related to energy supply and rising fuel and transportation costs that contribute to high electricity prices, the GPCCI and Napocor recognize the potential of hydrogen technology and fuel cells as an alternative energy solution for off-grid areas,” he said.

The project, which is supported by the German Federal Ministry for Environment, Nature Conservation and Nuclear Safety, will be implemented in three phases.

For the first phase, two suitable sites will be selected based on criteria such as renewable resource availability, economic factors, accessibility, and community support.

Napocor will provide technical and economic data, while GPCCI will assist in data gathering.

The second phase will involve the modeling of the selected sites, while the final phase will consist of the evaluation of project results.

“By conducting this feasibility study, the GPCCI and Napocor are committed to contributing to a sustainable and climate-friendly energy transition in off-grid areas of the Philippines. The project aims to showcase the economic and environmental benefits of green hydrogen and fuel cell technologies while promoting sustainable development and supporting the country’s development goals,” GPCCI said.