Funding Gaps Hold Back Phl's RE Ambitions

Persistent financing challenges remain a major hurdle in the country's pursuit of more ambitious energy transition goals, especially in renewable energy, according to the Department of Energy.

- By Brix Lelis

"If the financial requirements or the financial resources were there, we can go as the sky is the limit as far as renewable energy is concerned," Energy Secretary Raphael Lotilla said in an interview with Bloomberg last week.

With the Philippines betting big on renewables to ensure energy security and sustainability, Lotilla acknowledged that the real challenge ultimately lies in the cost.

"Even the renewable energies that will be coming on stream will initially have a higher cost, even higher than conventional energy," he said.

In terms of power generation, the country derives over 60 percent of its power needs from coal, with renewables only accounting for about 22 percent.

Notably, about 80 percent of the country's coal supply is imported, Lotilla said.