Energy Secretary Raphael P. M. Lotilla said that the Maharlika Investment Fund (MIF) can be used to fund transmission projects as investors of renewable energy (RE) faced challenges connecting their projects to the grid.
In a report by the Manila Bulletin, Lotilla stated that the MIF would be made available for transmission and other investments to improve the country’s transmission facilities and streamline the process.
This follows concerns raised by investors regarding connecting their renewable energy (RE) projects to the existing grid.
Additionally, nuclear power was also seen as a potential investment.
Lotilla said that the National Economic and Development Authority (NEDA) was conducting a nuclear study and working on the policy framework that the private sector could use if they decided to participate in nuclear investments.
Earlier, the DOE also announced that state financing or public-private partnership (PPP) could be another option used as business models for transmission projects.
A 25-year concession deal was in place, allowing the National Grid Corporation of the Philippines (NGCP) to operate and manage the country’s transmission system. However, due to delays in project implementation, the government sought new investments while considering the legal bounds of the Concession Agreement with the corporation.