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Manila Bulletin devider Business devider Trade & Industry devider DOE extends timelines, boosts capacity for special waste-to-energy auction round

DOE extends timelines, boosts capacity for special waste-to-energy auction round

Published Jun 19, 2026 05:23 pm
The Department of Energy (DOE) expanded the capacity target for its upcoming special Green Energy Auction (GEA) round, seeking to attract more project developers by raising the installation limits and extending operational deadlines for waste-to-energy technologies.
In a statement on Friday, June 19, the DOE said the government increased the installation target for thermal combustion projects to 400 megawatts from the previous limit of 230 megawatts.
Thermal combustion refers to the process of burning solid municipal waste to generate electricity. The DOE had paused the auction proceedings earlier this week to adjust the parameters of the program, which is designed to help the country manage its growing urban trash load while diversifying its electricity supply.
To accommodate broader private sector participation, the agency extended the deadline for the mechanical completion of these waste-to-energy facilities to December 2028. Winning bidders are now expected to begin commercial operations and supply electricity to the power grid by December 2029.
The registration window for qualified suppliers has been extended until July 31, 2026, to give interested developers more time to comply with the revised auction rules. Companies that secure either a Waste-to-Energy or a Biomass Energy Operating Contract from the government by the end of July will remain eligible to bid in this specific round.
The timeline adjustments and capacity increase are aimed at ensuring the widest possible participation in the auction, according to the energy department. By fostering stronger competition, the government aims to enable the rollout of capital-intensive waste-to-energy systems that help reduce reliance on local landfills.
The regulatory environment for these projects became clearer earlier this year when the Energy Regulatory Commission adjusted the pricing framework.
The regulator established a higher green energy reserve auction price—which functions as the maximum ceiling price for competitive bids—setting it at ₱9.29 per kilowatt-hour. That is an increase from the originally proposed baseline rate of ₱8.0167 per kilowatt-hour, a move intended to preserve the financial viability of private investments against high initial capital requirements.
Once the selected projects are built and commissioned, the winning developers will supply electricity to the national grid under long-term power purchase agreements spanning 25 years. (Gabriell Christel Galang)

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DOE Waste management green energy auction (GEA)
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