The Energy Regulatory Commission (ERC) has begun its focus group discussions (FGD) and preliminary studies for the upcoming round of the green energy auction (GEA), which will integrate renewable energy projects and energy storage systems.
In a report by the Manila Bulletin, ERC Chairperson Monalisa Dimalanta said that the price setting of the green energy auction reserve prices (GEAR) for the undersubscribed capacity during the second round of the GEA (GEA-2) has yet to be issued.
Inputs from stakeholders in the FGD and preliminary studies will be considered in the computation of the tariffs for the capacities to be included in the tender.
The Department of Energy (DOE) earlier mentioned plans to auction off the unsubscribed capacities from GEA-2.
Of the 11,600 megawatts (MW) offered during GEA-2, only 3,581 MW were consumed by bidders. DOE would need to re-offer the unsubscribed capacity worth 8,000 MW under GEA 2.1.
Energy Undersecretary Rowena Guevara said that the DOE is in talks with ERC on the GEAR rate-setting which will factor in both RE capacity and energy storage systems.
Guevara emphasized the need to stabilize the grid with energy storage with the entry of many renewable energy capacities, and there would be “a lot of variability that can stress the system.”
Those factors will definitely call for a re-adjustment in the GEAR prices for the RE technologies being offered, Guevara noted.