DOE cancels more non-compliant RE contracts

MANILA, Philippines — The Department of Energy (DOE) has intensified its crackdown on non-compliant developers, terminating eight more renewable energy (RE) contracts this year.

This latest round of terminations brings the total number of revoked contracts in 2025 to 84, representing over 5,300 megawatts of potential capacity that had been factored into the country’s energy planning assumptions.

The DOE, however, did not disclose the identities of the developers behind these contracts.

“Renewable energy development must be fast, but it must also be accountable,” Energy Secretary Sharon Garin said in a statement.

And the DOE’s crackdown is far from over, with 42 more RE contracts still under review and facing termination.

“The DOE will not compromise on contract discipline. Service contracts are performance commitments, and renewable energy projects must deliver real, reliable power for Filipino consumers,” Garin said.

The terminations follow a thorough technical and legal review of the affected project’s compliance with their service contracts.

The cited reasons for contract revocation include non-compliance with work program requirements, failure to meet the green energy auction program (GEAP)’s terms of reference and non-adherence to established DOE standards.

The DOE has vowed to enforce zero tolerance on violating developers and warned that it may impose additional sanctions in future GEAP rounds, including blacklisting, forfeiture of performance bonds and other applicable penalties.

“Contract termination ensures that service contracts are awarded to capable, committed developers with the readiness and capacity to deliver,” the agency said.