Several private sector organizations raised the need for the Philippines to balance energy security, affordability, and climate change concerns to drive its economic progress.
In a joint statement on Tuesday, Aug. 13, the groups emphasized that the country ranks third lowest in energy supply per capita in Southeast Asia; thus, the Department of Energy (DOE) must prioritize increasing power capacity.
For this reason, the organizations expressed their support for the DOE and Energy Secretary Raphael P.M. Lotilla in crafting an energy policy tailored to the country's specific requirements.
The joint statement was signed by the Blockchain Council of the Philippines (BCP), Employers Confederation of the Philippines (ECOP), Federation of Philippine Industries (FPI), Financial Executives Institute of the Philippines (FINEX) and Fintech Alliance.PH.
It also included Foundation for Economic Freedom (FEF), the Makati Business Club (MBC), Management Association of the Philippines (MAP), and Women's Business Council Philippines (WomenBizPH).
This joint statement came after the Power for People Coalition (P4P) filed complaints against Lotilla for endorsing the Aboitiz-owned Therma Visayas, Inc. Unit 3 expansion in Cebu.
P4P said that the project’s approval by Lotilla was against the ban on new coal-fired power projects implemented by the previous administration.
The private sector organizations, however, said that the DOE has clarified that its moratorium on coal-fired power plants pertains to greenfield projects.
“As an emerging market, the country must balance energy security and affordability with climate change concerns to support its economic progress,” the groups said.
“Even with government's goal of a 50 percent renewable energy share in the country's power generation mix by 2040, it has left a sizable proportion for fossil fuel-based sources,” they added.
The groups emphasized that the increasing energy needs of the Philippines make energy insecurity costly.
In particular, they pointed out that the power outoage in Panay Island in January resulted in an estimated economic loss of around P3.8 billion for the Province of Iloilo alone.
“We also laud the DOE's pursuit to develop indigenous resources to reduce our heavy dependence on imported fossil fuels, to lower power costs, and to pursue energy efficiency as an essential element in maximizing our energy resources,” the groups said.
“We unite behind the DOE in the pursuit of these objectives,” they added.
On Aug. 5, the Philippine Chamber of Commerce and Industries (PCCI) voiced its support for Lotilla amid the graft complaint filed against him by certain progressive groups.
The PCCI dismissed the graft charges alleging Lotilla of violating the moratorium on coal-fired power generating facility projects as “unfounded complaints.”
“We recognize the excellent work that Secretary Lotilla is doing,” PCCI said.
“We support the directions he is taking to achieve energy security and affordability for the country, the two key components to bring in investments, expand domestic enterprises and enhance our productivity and competitiveness,” it added.