Balanced approach needed in energy transition – experts

MANILA, Philippines — The success of the country’s ambitious energy transition hinges on striking a balance between security, affordability and sustainability in the face of growing power demand.

This was what key officials from the government and the private sector highlighted during an energy forum organized by the Economic Journalists Association of the Philippines.

Energy Undersecretary Mylene Capongcol said keeping the balance among the three critical goals is the central focus of the Philippine Energy Plan, the country’s blueprint for the energy sector.

“We cannot leave one behind the other,” Capongcol said, noting that the long-term plan aims to ensure that every Filipino has access to affordable and reliable electricity.

“I think when we talk about transition, it’s not cheap. It’s expensive because it involves new and innovative technologies like battery energy storage, but eventually, the cost is going down,” she said.

A battery storage stores electricity from power plants or the grid for various applications such as grid stability, energy efficiency and renewable energy (RE) integration.

This complements the country’s aggressive rollout of renewables to increase its share in the power mix to 35 percent by 2030 and 50 percent by 2040.

Currently, RE accounts for only 22 percent of the country’s energy pie, with coal making up the bulk at around 63 percent.

“Aggressively pursuing renewable energy supports sustainability but may increase costs if not carefully managed,” Energy Regulatory Commission chairman and CEO Francis Saturnino Juan said.

“This encapsulates the essence of the trilemma, a challenge we must all confront collectively. To address this, we have assured our stakeholders and consumers of a new ERC that is committed to meeting their expectations,” Juan said.

Unlike in other countries, the Philippines’ electric power industry is privatized, with the government playing only the supporting role.