The Department of Energy (DOE) is rescheduling the third round of the Green Energy Auction (GEA-3) to 2025 as it awaits the pricing mechanism necessary to establish parameters for the technologies to be offered.
In a report by Business World, Energy Undersecretary Felix William B. Fuentebella announced that GEA-3 is now slated for January 2025. Previously, the DOE had intended to conduct GEA-3 before the end of 2024.
In November, the DOE launched the bidding process for the Green Energy Auction Program 3 (GEA-3), issuing a notice of auction and terms of reference to attract qualified renewable energy (RE) developers.
The auction will make 4,475 megawatts (MW) of RE capacity available, comprising both FIT-eligible and non-eligible technologies.
The bulk of the capacity—4,000 MW—is allocated to pumped storage hydropower, with delivery scheduled between 2028 and 2032, while 300 MW of impounding hydropower is set for delivery between 2028 and 2030.
The auction also includes smaller capacities, such as 100 MW of geothermal energy for 2025-2027 delivery and 75 MW of FIT-eligible run-of-river hydropower for 2027-2029 delivery, aiming to diversify the renewable energy mix.
Energy Assistant Secretary Mylene C. Capongcol said that the Energy Regulatory Commission (ERC) would issue the pricing determination methodology (PDM) during the holiday season.
ERC Chairperson Monalisa C. Dimalanta confirmed that the commission is reviewing stakeholder comments on the draft PDM, with plans to release it within the month.
According to Dimalanta, most feedback concerns details of the pricing formula and methodology, particularly for pumped storage hydropower, which may prioritize ancillary services over energy supply.
The ERC’s PDM will assess the “reasonableness and prudency” of price offers under the GEA-3 auction.
The GEA program promotes renewable energy as a primary power source through competitive bidding. Developers offer their lowest price for a specified capacity to secure fixed power rates under the program.
There are no comments
Add yours