USAID sets aside Php1.6B for clean energy projects

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The United States government has allotted Php1.6 billion ($34 million) for the promotion of clean energy solutions in the Philippines.

On Monday, the US Agency for International Development (USAID) launched its five-year Energy Secure Philippines (ESP) flagship project to support a more competitive, secure, and resilient energy sector in the country.

US Embassy Chargé d’Affaires John Law joined USAID Philippines Acting Mission Director Sean Callahan and Energy Sec. Alfonso Cusi for a virtual Memorandum of Understanding signing. Energy Regulatory Commission Chairperson Agnes Devanadera was also present at the virtual event.

Under the ESP project, the US will work with the Philippine government and private sector partners to improve the performance and efficiency of energy utilities, deploy renewable energy systems, enhance competition in the power sector, and address energy sector cybersecurity.

The US government will also mobilize more than Php36 billion ($740 million) in private sector investment and help develop at least 500 megawatts of clean energy generation capacity.

“We look forward to building and sustaining new partnerships with diverse stakeholders across the energy sector whose collective efforts are required for a more competitive and advanced energy sector,” Law said in a statement.

Cusi, for his part expressed his optimism on the project’s positive impact on the Philippine energy sector.

“The ESP will provide a wealth of opportunities for the [Department of Energy], as we reevaluate the appropriateness of our current policies vis-à-vis our country’s energy goals,” he stated.

During the event, Law also announced the “Energy Evolution Challenge,” a grant facility that will fund proposals to advance research and deployment of innovative energy systems.

The programs are part of the 75th anniversary commemoration of US-Philippine diplomatic relations.