Energy Investment

Forum

Energy Transition
towards
Renewable Energy
SHARON O. MONTANER
Director, Market Operations Service

3 December 2021
ERC’s Mandate & Role
Sec. 38 of EPIRA
Republic Act No. Promote Monitor the
“There is hereby competition Market
9136
created an
(Electric Power independent, quasi- Encourage Ensure
Industry Reform judicial regulatory market
development
customer
choice
Act or EPIRA) body to be named the
Energy Regulatory Penalize abuse
June 8, 2001
Commission (ERC).” of market
power

THE COMMISSION

Agnes VST Devanadera

Chairperson & CEO
Alexis M. Lumbatan Catherine P. Maceda Floresinda G. Baldo-Digal Marko Romeo L. Fuentes
Commissioner Commissioner Commissioner Commissioner

2
RE Act (Core Policies - On Grid)
Net Metering
Program Green
Energy Renewable
A consumer-based Option Portfolio
incentive appropriate
for distributed (GEOP) Standards
generation, in which a Feed-In-Tariff
distribution grid user (RPS) (FIT)
has a two-way A program which
connection to the grid provides end-users the
and is only charged for option to choose RE Setting a minimum
his net electricity resources as their percentage of Guaranteed payment
consumption and is source of energy. generation from RE in Philippine Peso per
credited for any overall
sources to be sourced kilowatt-hour
contribution.
by Mandated
("Php/kWh") for
Participants, currently
set at 1% of electricity electricity generated
sold. from emerging
renewable energy (RE)
technologies and
actually delivered to
the transmission and/or
distribution network.

3
RE Act (Core Policies - Off Grid)

Renewable Portfolio
Standards (RPS) Cash Incentives

Setting a minimum An RE Developer shall be

percentage of entitled to the cash
generation from RE incentive under the RE Act
sources to be sourced from the time it commences
by Mandated its commercial operation in
Participants, currently the missionary area as NPP
set at 1% of electricity under a PSA approved by
sold. the ERC.

4
Energy Transition
ERC Issuances on Renewable Energy:
 Feed-In Tariff (FIT)
 Net-Metering
 Green Energy Option Program (GEOP)

5
 RENEWABLE ENERGY
RESOLUTION NO. 16, SERIES OF 2010

A Resolution Adopting the Feed-In Tariff Rules

12 July 2010

6
Feed-in Tariff System
A fixed rate per kilowatt-hour
for emerging renewable
energy sources, excluding
any generation for own use,
as approved by the ERC.
 Resolution # 16
(July 12, 2010)

 Resolution # 15,
(November 19,
2012)

Section 7, R.A. 9513 7

The Overall FIT Framework

END-USERS

TransCo

FIT-ALL
8
What is FIT?

 Based on cost of a
SALIENT FEATURES

representative project
 Technology-specific
 20 years duration
 Subject to degression and
adjustments
 Subject to review
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FEED-IN-TARIFF (FIT) SUMMARY
(As of 1 November 2021)

10
FEED-IN-TARIFF (FIT) SUMMARY
(As of 1 November 2021)
 RENEWABLE ENERGY
RESOLUTION NO. 6, SERIES OF 2019

A Resolution Adopting the Amendments to the

Rules Enabling the Net-Metering Program for
Renewable Energy

16 August 2019

12
How it works

Import Meter
(delivered energy)

x REC Meter

x
Export Meter
(received energy)

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NM Status (As of 26 November
2021)
Grid Capacity (kWp) Qualified End-User
Luzon 30,724.80 4,197
Visayas 9,122.22 750
Mindanao 1,806.12 155
Total 41,653.15 5,102

Qualified End-Users per Grid

3%
15% Luzon

Visayas

Mindanao

82%
 NM Status (As of 26 November
2021)
Qualified End-User Qualified End-User Qualified End-User
Grid/Distribution Utility (DU) Capacity (kWp) Grid/Distribution Utility (DU) Capacity (kWp) Grid/Distribution Utility (DU) Capacity (kWp)
(QE) (QE) (QE)

Luzon 30,724.80 4,197 VISAYAS 9,122.22 750 MINDANAO 1,806.12 155

1 AKELCO 1 91 .45 8
1 AEC 1 ,2 3 9 .7 9 1 08 1 ANECO 1 3 .8 4
2 ANTECO 7 4.61 5 14
2 BATELEC I 1 4 8.3 3 5 9 2 CLPC 1 7 5.7 7 3
3 BLCI 91 .03 12
3 BATELEC II 54 8.6 3 06 68
3 DASURECO 3 9.68 3
4 BOHECO I 52 2 .3 5 49
4 CAGELCO I 4 .08 1
4 DLPC 1 ,1 91 .56 110
5 BOHECO II 8.3 2
5 CEDC 1 7 4 .2 6 6
5 FIBECO 5.2 1
6 CEBECO I 3 2 8.85 42
6 CELCOR 1 9 6 .9 87 44
6 ILPI 1 47 .83 18
7 CEBECO II 7 8.7 1 5 8
7 DECORP 3 9 4 .54 5 38
8 CENECO 41 1 0.1 55 2 58 7 MOELCI II 3 2 .2 3 2
8 ISECO 1 .6 8 1
9 DORELCO 4.3 2 2 8 SOCOTECO I 52 .94 4
9 LUECO 4 7 1 .53 5 37
10 GUIMELCO 7 .2 8 3 9 SOCOTECO II 1 9.56 2
10 LUELCO 4 6 .6 4 5
11 ILECO I 1 87 .54 28
10 SUKELCO 5.2 8 1
11 MERALCO 2 3 ,82 9 .2 2 3 ,502 12 ILECO II 93 .2 8 17
11 ZAMCELCO 94.86 1
12 NEECO I 4 3 .7 55 8 13 ILECO III 9.83 5 4
13 NEECO II 2 7 .4 3 2 14 LEYECO II 2 0.64 3

14 OEDC 3 6 .89 8 15 LEYECO IV 7 .7 3

15 PANELCO I 2 1 .1 1 8 16 LEYECO V 1 40.95 9

16 PANELCO III 1 1 4 .4 1 15 17 MECO 1 92 .07 5 22

17 PELCO I 1 7 2 .9 3 5 32 18 MORE Power 62 .7 3 9

18 PELCO II 4 8.2 2 2 6 19 NORECO II 1 1 95.02 1 08

20 SOLECO 5.6 1
19 PELCO III 1 04 .08 2
21 VECO 1 7 89.7 96 1 48
20 PENELCO 2 2 5.4 9 29

21 PRESCO 1 2 .57 5 2

22 SEZ 53 .2 09 5 11

23 SFELAPCO 1 54 4 .4 85 1 55

24 TARELCO I 2 2 4 .6 24

25 TARELCO II 1 2 4 .5 10

26 TEI 6 9 6 .6 9 5 54

27 ZAMECO I 1 7 3 .51 5 6

28 ZAMECO II 4 5.1 9 5 6
Salient Features

1. Clarified the Conditions, Qualifications and Eligibility;

2. Improved the interconnection set-up to take advantage of
new technologies and to implement the RPS;
3. Simplified permitting procedures (20 days);
4. Removed the DIS Fee and the Net-Metering Charge;
5. Maintained the current pricing methodology;
6. Addressed the subsidy impact on the non-NM customers;
7. Rationalized the entitlement to the lifeline subsidy rate;
8. Implemented a strict reporting process; and
9. Opened opportunity for socialized and economic housing
developments to avail of the NM Program.

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 RENEWABLE ENERGY
RESOLUTION NO. 8, SERIES OF 2021

A Resolution Adopting the Rules for the Green

Energy Option Program

22 April 2021

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INTRODUCTION

ERC Resolution No. 8, Series of 2021

A Resolution Adopting the Rules for the Green Energy Option Program
(GEOP)

Components:
• Annex A: Rules Enabling the Green Energy Option Program (GEOP)
• Annex B-1: Connection Agreement Template
• Annex B-2: Transmission Service Agreement Template
• Annex C-1: Distribution Wheeling Service Agreement Template (For Renewable Energy
Suppliers)
• Annex C-2: Distribution Wheeling Service Agreement Template (For GEOP End-Users)

 Approved: 22 April 2021

 Published: 19 August 2021
 Effectivity: 03 September 2021
Green Energy Option Program (GEOP)

GEOP is a voluntary policy mechanism

that provides electricity end-users with
100kW and above demand the option
to choose RE resources as their source
of energy

It provides options to end-users to

contribute in the development and
utilization of RE resources in a least-
cost and sustainable manner

RE Suppliers must secure a Retail

Electricity Supplier (RES) License
from the ERC
Guiding Principles

An End-User who All specifications and The RE System shall

intends to participate detailed plans for the conform to the latest
in the GEOP shall version of the PEC,
installation of the PDC, PGC, DSOAR,
inform its DU or communication, control,
TransCo or its COC Rules, OATS
successors-in interest and protective devices Rules, the Terms and
or concessionaire. shall be of the Network Conditions of Service
Service Provider’s and Standard Rules and
(NSP) standards. Regulations, and other
Rules as approved by
the ERC, and any
subsequent
amendment/s thereto.
Eligible GEOP End -Users

PURPO
SE Estimated average
All End Users with a monthly peak demand
Estimated average for the next 12 months
monthly average peak
monthly peak demand is from 100kW to
demand of ≥ 100kW
MANDAT
for the next 12 300 kW – shall have
for the past
E 12
months is ≥ 300 kW registered historical
months
monthly peak demand
of at least 100kW for 3
consecutive months
Existing New Connection Newly-Connected
With GEOP …

1 To choose RE at competitive or
least-cost supply

To contribute to the growth of

2 the RE industry of the country

3 To contribute to cleaner and

sustainable environment

4 To support national and global

decarbonization goals

Pic by Bishop Wright

Energy Transition

ERC’s Upcoming Issuances and Activities:

Cost Recovery Framework for DUs Compliance to RPS

Distributed Energy Resources (DER) Rules

Net Metering Program for Off-Grid Areas

Regulatory Framework on Energy Storage System

Regulatory Framework on Electric Vehicles and

Charging Stations

DOE’s Green Energy Auction Program

Thank you.