The government is considering tapping Japan’s offer to aid the renewable energy (RE) sector via a Joint Crediting Mechanism (JCM) managed by the Asian Development Bank (ADB).
Manila Bulletin reported that the fund would be used for the proposed test initiative into hydrogen. Department of Energy (DOE) Director Patrick Aquino explained that the Philippines lacks government financial support in considering ingenious technologies like Hydrogen.
Aquino added that accepting funds from neighbors abroad might be the best course of action, and the Japanese government had been offering the JCM to the RE industry, but in specific installations only, like the geothermal and waste-to-energy technologies.
The director shared that other Southeast Asian countries, like Laos and Malaysia, are looking into the JCM business model as they work towards their respective demonstration projects, with Japan providing support for their industries.
Proposals have been sent to the DOE to consider JCM and to extend its coverage to blue or green hydrogen technologies.
Aquino also mentioned that the existence of the JCM fund could serve as encouragement for the eventual rollout of hydrogen in the country. Considering the growing potential of offshore wind, Japan could leverage this to expedite the production of green hydrogen.