DOE points to 'young' coal plants to ensure stable power supply

Despite the moratorium on the development of new coal-fired power plants, the Philippines will continue its reliance on coal-fired plants to ensure reliable and stable supply of electricity in the country.

At a forum organized by the Philippines Chamber of Commerce and Industry on Wednesday, Energy Secretary Raphael Lotilla said coal remains as the top source in the Philippines’ energy mix, accounting for 62%.

Meanwhile, renewable energy was at 22%, still far from the government’s goal of 35% contribution in the power mix come 2030.

Nonetheless, Lotilla said the Department of Energy (DOE) sees no reason to lift the moratorium.

“While there is an existing moratorium on building coal-fired power plants, there are also exemptions for committed, indicative and expansion plans,” the Energy chief said.

“We have over 6,300 megawatts (MW) of dependable coal capacity aged 10 years or younger. These plants can be relied on to operate for at least another 30 years,” he said.

Lotilla added there are also over 3,400 MW of coal capacities which are between 10 and 30 years old, “allowing for at least a further 10 years of operation.”

Despite this, the Energy chief said the government remains committed to its push to increase renewable energy’s share in the power mix.

“We are prepared for the various scenarios of the energy transition and the relatively young age of these coal plants help ensure that we will have enough baseload capacity through to 2030,” Lotilla said.

“Maximizing the use of existing energy infrastructure avoids placing an added cost burden on both the economy and consumers,” he added.

Come 2028, the Energy Department is projecting power producers to generate around 2,255 MW of additional coal supply as part of the government’s target to make additional capacity reaching 11,000 MW.

Lotilla additional capacity would help address the estimated peak demand growth pf around 5.3% from 2023 to 2028. — RSJ, GMA Integrated News