The government should prepare policies on energy transition amid mounting calls for a coal phaseout, Senator Sherwin Gatchalian said.

Gatchalian pointed out that the development of more renewable energy (RE) projects in the country is expected to bring down power costs and ensure sufficiency of energy supply.

“It’s important that we put in place as soon as possible an energy transition measure so that the coal phaseout, including its replacement, would be based on scientific optimization,” said Gatchalian.

The senator cited the measure he filed, Senate Bill No.157 or the Energy Transition Act which provides for the creation of an Energy Transition Plan (ETP) to achieve phaseout of fossil fuel plants and net zero emissions by 2050.

The bill is still pending before the Senate Committees on Energy and Finance.

Without an energy transition law, he said the Philippines may not be able to put in effect its commitment to phase out coal.

“Since the commitment to phase out coal is voluntary, there needs to be sufficient policy signals that would provide incentive for such action,” the lawmaker explained.

He also said an energy transition measure would provide the most benefit for consumers as it would effectively diversify the country’s current energy sources.

“Kailangan nating maglagay ng mga insentibo para maipatupad nang maayos ang ating resolusyon na gumamit ng mas malinis na enerhiya (We need to put in incentives to properly implement our resolution to use cleaner energy),” he emphasized.

On top of this bill, Gatchalian also filed Senate Bill No. 485, or An Act Enhancing The Implementation Of The Net-Metering Program, which seeks to amend certain provisions of RA 9513 or The Renewable Act of 2008. 

Passage of the bill into law would foster increased investments in the RE sector as it seeks to remove the 100-kilowatt (kW) ceiling on generation facilities that can participate in the net metering program. 

Currently under existing laws, net metering allows participants with their own RE facilities to feed power back into the grid and have their contribution to the common pool of power deducted from their consumption.