The Department of Energy (DOE) has recently issued the guidelines for the updated Green Energy Auction Program (GEAP).
Energy Sec. Alfonso Cusi signed the revised GEAP guidelines on November 3, but only took effect officially on December 4, 15 days after these were published in two newspapers on November 19.
The updated GEAP guidelines adopt certain mechanisms under the feed-in-tariff, such as central dispatch, to be sold to through the Wholesale Electricity Spot Market as priority dispatch.
GEAP also introduces an “opt-in mechanism,” which would allow any distribution utility (DU) to procure portions of the capacity auctioned to allow the DUs to procure supply in a competitive environment and, at the same time, comply with minimum Renewable Portfolio Standards (RPS) requirements.
“The GEAP is a new market development support program introduced by the DOE to promote renewable energy as one of the country’s primary sources of energy through the transparent and competitive selection of RE facilities. This supports the government’s goal of attaining energy security through the entry of new capacities in the grid,” Cusi said in a statement.
He further said that GEAP assists RPS-mandated participants in complying with their prescribed minimum RPS requirements.
“The implementation of GEAP is seen to encourage greater private sector participation in the generation sector through RE. With GEAP, the country’s RE program will be met particularly in targeting attainment of 35% RE share in the generation mix by 2030,” Cusi added.
First announced in December last year, the GEAP was originally slated for June, but was first postponed to October. However, it did not also push through back then, as the DOE was still in talks with participants on the program’s rules.
While the GEAP guidelines have been approved, DOE Renewable Energy Management Bureau Director Mylene Capongcol said in a BusinessWorld report that participants still have to wait for the notice of auction since the auction rules have yet to be set.
