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Manila Bulletin devider Business devider Trade & Industry devider DOE wants Semirara coal bidders to reserve supply for Philippines

DOE wants Semirara coal bidders to reserve supply for Philippines

Published May 26, 2026 03:16 pm
ONE of the coal pits of Semirara Mining and Power Corp. (SMPC), the country’s largest coal producer, in Caluya town, Antique province. (Tara Yap)
ONE of the coal pits of Semirara Mining and Power Corp. (SMPC), the country’s largest coal producer, in Caluya town, Antique province. (Tara Yap)

The Department of Energy (DOE) plans to require bidders for the upcoming Semirara coal mine auction to reserve part of their coal output for the domestic market as the government seeks to strengthen the country’s energy security amid lingering supply risks.

Energy Secretary Sharon Garin told reporters last Monday, May 25, that the DOE wants a portion of coal production from the mining area to be allocated to local consumers instead of being exported.

“We asked that a certain minimum percentage should be sold to the Philippines. Not exported... There are so many concerns [from investors] because there are so many that are interested,” she said on the sidelines of the Oras Natin sa Efficiency (ONE) activation event.

Despite earlier delays in the bidding process, Garin said the DOE continues to refine the auction framework for the Semirara mine block in Caluya town, Antique province, before formally launching the bidding sometime in the middle of the year.

Although she did not elaborate on the proposed domestic supply quota, Garin said interested bidders have already raised several questions regarding the auction terms.

Among the issues raised were the status of existing equipment owned by current operator Semirara Mining and Power Corp. (SMPC), which is controlled by the Consunji group.

Potential investors also sought clarification on the contract duration, including how long the winning bidder would be allowed to operate the coal mine and the expected production volumes from the area.

SMPC earlier expressed willingness to rejoin the bidding process after operating the 10,000-hectare (ha) coal block for decades.

Meanwhile, Meralco PowerGen Corp. (MGEN) has also signaled interest in a possible minority partnership with SMPC as part of efforts to secure fuel supply for its power generation portfolio.

SMPC’s existing contract to operate Semirara coal mine is set to expire on July 14, 2027, after the government decided not to renew the agreement.

Related Tags

Semirara Mining and Power Corp. (SMPC) Semirara Island DOE
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