CLEAN, AFFORDABLE, AND SECURE ENERGY FOR SOUTHEAST ASIA (CASE) for the
Philippines Programme Launch
CONCEPT NOTE
Background
The programme aims to drive change in the power sector in Southeast Asia (SEA) towards
increased ambitions related to climate change action. It focuses on the four largest SEA countries
in the region in terms of energy demand: Thailand, Indonesia, Vietnam and the Philippines. The
CASE programme’s objective is to propose evidence-based solutions to the challenges that
decision-makers are facing and to build societal support around those solutions in the region
through extensive engagement with both energy and non-energy stakeholders and through the
involvement of expert analysis and dialogue. Policy makers and stakeholders in the Philippines
will be closely involved to ensure that efforts are not duplicated.
Together with the programme's political partner, the Department of Energy -Renewable Energy
Management Bureau (DOE-REMB), joint implementation of the CASE Programme will constitute
an essential impetus proposing evidence-based opportunities to the challenges met by
stakeholders and building societal support for energy transition in the Philippines. The CASE
Programme will convene dialogue with stakeholders, engaging them in a collaborative problem-
solving and shared understanding of the challenges and solutions of energy transition.
To officially kick off the programme’s implementation, CASE Philippines would be launched in
partnership with the Renewable Energy Management Bureau. The proposed date is on
December 21, 2021, 1:00 – 3:00 PM The event will introduce and highlight the programme’s
activities and reach a wider scope of stakeholders.
Five output areas have been defined to reflect key elements that are required to achieve a
narrative change and drive the energy transition in the power sector. The areas include (1)
research to provide evidence-base for an informed energy transition, (2) transparency to
maximise synergies, ensure efficient allocation of resources and allow better tracking, (3) dialogue
with stakeholders beyond the energy sector to build trust and ownership and engage them into
the energy decision-making process, (4) technical assistance to strengthen capacities of energy
stakeholders in the region and (5) communication to back the public’s opinion, provide better
information to the public and contribute to turn the energy debate into a political topic owned
beyond specialist. Through these activities, CASE will directly contribute to the transition of the
power sector towards an innovative, economically successful, and environmentally friendly model
for SEA.
As one of the main strategies of the CASE Philippines Programme is to support the Department
of Energy in taking a second look at existing data, some of the major initial outputs of the program
is to strengthen the evidence base for energy transition in the region. This is to better equip the
DOE in crafting evidence-based approaches in planning and decision making and maximize the
use of all available data. Therefore, during the CASE Programme launch, CASE Philippines also
proposes to present initial findings from a recent analysis, summarized below.
Towards an Affordable and Reliable Grid with Energy Transition (TARGET)
An Evidence-based Comparative Assessment of Baseload Coal and Variable Renewable
Generating Technologies
Heavy investments over the past decade have been poured into coal to support our country's
economic development. This groundwork led to over half of the Philippine energy mix being coal
and a reduced share of Renewable Energy (RE). This report compiled and analyzed energy data
from various institutions of the Philippine energy sector and other research findings to determine
the reliability of coal and variable renewable energy sources from the past 4 years. The findings
concluded that:
a. Baseload coal is no longer what the Philippines needs
Baseload coal has proven to be unreliable, in overcapacity, and is incompatible to what
the Philippine power system needs today. What the grid needs now are more flexible
power plants that can provide cheap, reliable, and secure power during times of peak
demand.
b. Variable RE sources are reliable because of their high availability and predictability, and
can be further realized with the appropriate system design and policies
Since vRE plants are available at the time of high demand, they can conveniently provide
power during this time. Moreover, data have shown that its availability rates are much
better than coal plants, its hourly power dispatch are predictable, and its intrahour
variability can be effectively managed.
c. Coal is not the most cost-effective and has hidden costs tied to it
The evidence clearly shows that coal has been intermittent and unreliable even before the
pandemic- and this intermittency has direct implications on the system costs that are an
added burden to the consumers. Moreover, since its operating costs are tied to the
importation of its fuel, it is subject to the volatile prices at the global markets that also adds
to this burden.
d. Variable RE sources are among the cheapest and have historically reduced the price of
electricity
Since the power generation of variable RE plants is coincident with the peak demand, it
has historically reduced the price of electricity during peak hours by 28% despite only
having less than 3% share in the energy mix. Moreover, since it is indigenous, it is not
prone to price volatility of the global markets.
Currently, the Philippines have envisioned achieving a 35% and 50% share of renewable energy
in 2030 and 2040, respectively. The findings of this report confirm that the Philippines should take
part in the Energy Transition by carrying out this target share as RE now proves to be economical,
practical, and what our grid needs. Moreover, the current policies that are being implemented by
the government proves to be in line with these findings as the RE-centric policies are being laid
down in the previous years.
Launching of the Clean, Affordable, and Secure Energy (CASE) Programme for the Philippines
Venue: MS Teams
Date: December 21, 2021, 1-3 PM
Moderated by: Josephine Mangila-Tioseco
Agenda Item Details
Opening Remarks Bjoern Surborg, Ph.D (TBC)
Acting Country Director and
Cluster Coordinator Climate Change and Disaster
Risk Management
Deutsche Gesellschaft für Internationale
Zusammenarbeit (GIZ) GmbH
Keynote Message Georg Maue, Ph.D
Commercial Counsellor
German Embassy Manila
Hon. Felix William Fuentebella
Undersecretary, Department of Energy
About the CASE Programme Christian Melchert
Chief Advisor, (GIZ) GmbH
Presentation of the Towards an Affordable and Jephraim Manansala
Reliable Grid with Energy Transition (TARGET) Chief Data Scientist,
report Institute for Climate and Sustainable Cities
a. Baseload coal is no longer what the
Philippines needs
b. Variable RE sources indeed more reliable
c. Coal is not the most cost-effective and has
hidden costs.
d. Variable RE is among the cheapest
sources of energy
Open Forum
Closing Remarks Mylene Capongcol (TBC)
Director
Department of Energy – Renewable Energy
Management Bureau
Renato Redentor Constantino
Executive Director
Institute for Climate and Sustainable Cities
About CASE
The programme “Clean, Affordable and Secure Energy for Southeast Asia” (CASE) is jointly
implemented by the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH and
international and local expert organisations in the area of sustainable energy transformation and
climate change: Agora Energiewende and NewClimate Institute (regional level), the Institute for
Essential Services Reform (IESR) in Indonesia, the Institute for Climate and Sustainable Cities
(ICSC) in the Philippines, the Energy Research Institute (ERI) and Thailand Development
Research Institute (TDRI) in Thailand, and Vietnam Initiative for Energy Transition (VIET) in
Vietnam. The DOE is the political partner of CASE in the Philippines and REMB is its main
implementing partner bureau.
Funded by the German Federal Ministry of the Environment, Nature Conservation and Nuclear
Safety (BMU), CASE aims to support a narrative change in the region’s power sector towards an
evidence-based energy transition, in the pursuit of the Paris Agreement goals. The programme
makes use of available research initiatives while generating new evidence grounded in local
realities that can influence economic managers, power sector decision makers, industry leaders
and electricity consumers to support early, speedy, and responsive strategic reforms in the power
sector. To reach this objective, the programme applies a joint fact-finding approach involving
expert analysis and dialogue to work towards consensus by converging areas of disagreement.
Furthermore, CASE is an aligned programme of the Energy Transition Partnership (ETP), an
alliance of international donors, philanthropies, and partner governments established to
accelerate energy transition and to support sustainable development goals in Southeast Asia.
About GIZ
The Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH is owned by the
German government and has operations around the globe. GIZ provides services in the field of
international cooperation for sustainable development. GIZ also works on behalf of other public
and private sector clients both in Germany and overseas. These include the governments of other
countries, the European Commission, the United Nations, and other donor organisations. GIZ
operates in more than 120 countries and employs approximately 22,000 staff worldwide.
About ICSC
The Institute for Climate and Sustainable Cities is an international climate and energy policy group
based in the Philippines advancing climate resilience and low carbon development. Based in the
Philippines, it is engaged with the wider international climate and energy policy arena, particularly
in Asia. It is recognized for its role in helping advance effective global climate action and the Paris
climate agreement.
