The Independent Electricity Market Operator of the Philippines (IEMOP) marked its seventh year of operations on September 26, 2025, highlighting its growing role in supporting the country’s renewable energy transition.

Since taking over operations of the Wholesale Electricity Spot Market (WESM) in 2018, IEMOP said it has worked to strengthen competition, transparency, and access in the electricity sector. Over the past year, its initiatives have expanded into renewable energy integration and programs that widen participation in the retail market.

Earlier in the year, IEMOP hosted the annual Market Participants Update (MPU), bringing together key stakeholders to discuss market developments, address queries, and strengthen collaboration across the industry.

A key development is the Renewable Energy Certificates (REC) platform launched by the Department of Energy in December 2024, with IEMOP serving as Renewable Energy Registrar. The platform allows market participants to trade certificates to meet mandated Renewable Portfolio Standards. Since its launch, IEMOP has issued over 52.7 million RECs, with 25.13% retired for compliance covering years 2020–2022.

“The lower prices in the market is the result of improved efficiency in the entire industry value chain. It is a product of the collaborative efforts of all sectors, public and private,” said Atty. Richard J. Nethercott, IEMOP president and CEO.

These efficiencies are reflected in this year’s market performance. Spot market prices hit a five‑year low in the first half of 2025, averaging PHP 4.14 per kilowatt‑hour, down 26% from 2024, driven by improved supply conditions, increased renewable capacity, and reduced grid congestion.

Another milestone is the rollout of the Retail Aggregation Program (RAP), launched in February 2025 to enable smaller consumers and communities to participate in the competitive retail electricity market. Since its start, the monthly average retail market share has grown to 2.14 terawatt‑hours, with RAP accounting for 13,079 MWh and a peak demand of 30.66 MW.

These developments were a central focus at the third Philippine Electric Power Industry Forum (PEPIF) 2025, which IEMOP hosted in partnership with the DOE and the Energy Regulatory Commission in Cagayan de Oro City in April. The event, themed “Accelerating Philippine Renewable Energy Transition through Innovation and Collaboration,” brought together industry stakeholders to discuss strategies for expanding clean energy adoption and improving market mechanisms. 

“Let us embrace the spirit of collaboration and innovation as we work together to accelerate the Philippine renewable energy transition — but we should not forget to collaborate also with our consumers, the electricity end‑users,” said Cong. Sergio C. Dagooc of the APEC Party List, the forum’s Guest of Honor. “After all, the industry does not exist for itself but for those who consume electricity.”

Beyond the domestic market, IEMOP strengthened its regional engagement by participating in Renewable Energy Markets Asia 2025 in Singapore, showcasing the Philippines’ progress in REC trading and exploring strategies for wider clean energy adoption in the region.

How will REC trading and retail aggregation shape the renewable energy future of the Philippines?

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