MANILA, Philippines – Solar power producers are expected to generate at least 350-megawatt (MW) from solar farms in the medium term, data from the Philippine Solar Power Association (PSPA) showed.
The PSPA data also showed that producers are expected to generate an additional 130 MW in 2012 and 95 MW for 2013.
But the PSPA said these new projects are seen to come online once the feed-in tariff (FIT) is approved by the regulators by June this year.
FIT is a guaranteed revenue to the renewable energy developers provided for under the Renewable Energy Act.
“For 2011, PSPA is hopeful on the implementation of the FIT. The National Renewable Energy Board (NREB) committed to submit the recommended FIT to the regulators
no later than March 31,” PSPA president Tetchi Cruz-Capellan said.
Capellan said given the 90-day review process of our regulators, the industry is optimistic that the FIT will be in place no later than June 30.
For 2011, she said they are expecting 10 MW from solar producers in Mindanao while Luzon and Visayan producers are expected to generate at least 100 MW.
“Having said this, we anticipate a massive deployment of solar power in 2011. Solar energy is the only RE technology capable of deploying RE plants in less than a year,” Capellan said.
She said these solar projects would be mostly used to bring power in far-flung areas.
“We remain hopeful that our regulators will release the FIT guidelines for the SPUG areas. These places are the most that will benefit from the FIT since solar electricity prices can be competitive in these areas in comparison to power prices generated by dieselfired power plants,” she said.
Capellan noted that through the FIT, investments will flow in these places and economic productivity is expected to improve.
The PSPA official also pointed out that a micro-FIT for homes will reduce demand pressures from the grid.
“As incentives for homeowners and small businesses become available, the supply structure of electricity in the country will shift from largescale fossil fuel based energy into renewable,” she added.