The Asian Development Bank (ADB) has given the green light to USD 2.85 million in grants to support climate action and renewable energy initiatives in the Philippines.

In a report by Business World, the funding, announced on November 28, included USD 1.85 million from the ADB’s Technical Assistance Special Fund and USD 1 million from the Clean Energy Fund.

Meanwhile, the grants, which are part of the Energy Transition Support Program, will aid the development of sovereign-funded energy projects and programs in the country.

These funds will support ADB’s 2024-2029 country partnership strategy for the Philippines, focusing on climate change mitigation, resilience building, and environmental sustainability.

A key feature of the program is the establishment of the Geothermal Resource De-risking Facility, which aims to attract investments by covering up to 50% of the drilling costs during the exploration stage.

The Department of Energy (DOE) is expected to implement this geothermal funding, with a loan from ADB slated for 2025.

The grants will also fund the Offshore Wind Port Development Project, which plans to repurpose 10 ports to support offshore wind farms. This project is projected to receive an ADB loan by 2027.

Additionally, the program supports the National Total Electrification Support Program, which aims to ensure all Filipinos have access to electricity by 2028 through renewable energy investments.

Energy efficiency initiatives in public buildings will also be supported, including the installation of efficient lighting, air conditioning, and rooftop solar systems.

The program may further extend to incorporate smart metering systems and infrastructure for electric vehicle charging, the ADB document revealed.