The Energy Regulatory Commission (ERC) has released draft reserve prices for the fourth round of the Green Energy Auction Program (GEAP), marking the first time that solar-plus-storage projects will be included.

The ERC pegged the preliminary Green Energy Auction Reserve (GEAR)

prices at PHP 4.7679 per kilowatt-hour (kWh) for rooftop solar, PHP 4.1480 for ground-mounted solar, PHP 5.9515 for floating solar, PHP 6.5134 for onshore wind, and PHP 5.2835 for solar with Battery Energy Storage System (BESS). These proposed rates remain subject to public consultations within April.

“All comments

received by the commission within the prescribed period shall form part of the records of this r ule-making proceeding and shall be considered in the finalization of the draft Green Energy Auction Reserve Prices for Round 4,” the ERC said.

Tetchi Capellan, chairperson of the Philippine Solar and Storage Energy Alliance (PSSEA), welcomed the development but raised questions about the pricing model.

“This clearly signals the commitment of the DOE family to accelerate the deployment of RE and bring us closer to the 2030 target of the government. Our technical working groups are still studying the proposed prices. Initially however, we noticed that there are significant deviations in the methodology adopted by the commission viz GEAP 1 and 2,” she said.

“The private sector simply seeks consistency in the application of rules. Meaning, the methodology used in GEAP 1 and GEAP 2 should remain unless collect

ively agreed upon by parties. This will avoid confusion,” Capellan added.

The Department of Energy (DOE), for its part, has laid down the terms of reference for GEA-4, outlining technical, financial, and commercial requirements across 9,378 MW o

f renewable energy capacity nationwide, to be delivered in phases from 2026 through 2029.

The 2026 delivery target includes 2,372 MW for Luzon, 261 MW for Visayas, and 120 MW for Mindanao. For 2027, the DOE is auctioning 1,976 MW in Luzon, 350 MW in the Visayas, and 36 MW in Mindanao. Subsequent targets for 2028 and 2029 bring in an increasing share of floating solar and wind, with solar-BESS projects taking a central role.

Notably, the 1,100 MW of solar capacity paired with energy storage systems under GEA-4 aims to “enhance grid reliability and flexibility while supporting the country’s growing electricity demand,” according to the DOE.

As the ERC finalizes reserve prices and the DOE gears up for the auction, stakeholders in the renewable energy and finance sectors are encouraged to weigh in. What are your views on the proposed GEAR 4 prices and the integration of BESS in the upcoming auction?  

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