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Manila Bulletin devider Business devider Trade & Industry devider DOE sets auction for 11 renewable sites to revive stalled capacity

DOE sets auction for 11 renewable sites to revive stalled capacity

Published Jan 8, 2026 02:59 pm
The Department of Energy (DOE) is preparing to auction 11 renewable energy projects as part of a competitive bidding round aimed at repurposing stalled or abandoned power developments.
The upcoming auction, designated as the fifth Open and Competitive Selection Process, or OCSP5, includes a portfolio of hydropower, geothermal, and wind resources across the archipelago.
DOE said the mechanism is designed to replace the traditional first-come, first-served application system with a bidding process to ensure that only capable developers secure service contracts for the nation's indigenous energy resources.
According to data released by the DOE, the auction will have seven hydropower sites with a combined potential capacity of 37.40 megawatts. These locations include the 8.50-megawatt Amtuagan, the 8.30-megawatt Pacu-an, and the 6-megawatt Pinacanuan River projects. Smaller sites, such as the 3-megawatt Bacolan, the 2-megawatt Guiamon San Ramon, and two segments of the Guinoba-an plant totaling 9.60 megawatts, are also included in the pre-determined areas.
The geothermal segment of the auction consists of two major sites: the 43-megawatt Mt. Natib project and the 25-megawatt Southern Leyte project. While the DOE also listed the Cabusao and San Isidro wind projects for bidding, officials noted that the potential generation capacity for these specific wind facilities has not yet been finalized.
Both local and foreign developers are eligible to participate in the process, provided they meet the technical and financial requirements to undertake the developments.
Applications will be vetted by a review and evaluation committee to ensure strict compliance with administrative and legal paperwork. The department emphasized its discretion in the process, noting it reserves the right to reject any application or annul the selection at any time prior to the award without incurring liability.
The launch of OCSP5 follows a significant “fine-tuning” of the selection process. Energy Undersecretary Mylene Capongcol indicated last December that the improved system would specifically target projects that were previously terminated, relinquished, or surrendered.
This move follows the department’s aggressive clearing of its pipeline; just before the end of 2025, the agency revoked 84 renewable energy contracts due to various developer violations. Those canceled projects represented approximately 5,372.21 megawatts of potential capacity that had failed to reach fruition under previous holders.
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