DENR provides subsidy for environment-friendly cooling systems

MANILA, Philippines - The Peninsula Manila has received a P1.3-million subsidy from the Department of Environment and Natural Resources (DENR) for converting its air conditioning system into an environmentally-friendly one.

The subsidy represents 15 percent of the acquisition cost of Peninsula’s newly-installed chiller that uses ozone-friendly refrigerants that comply with the requirements of the Philippine Chiller Energy Efficient Project (PCEEP) which is assisted by the World Bank.

The project, implemented by the DENR, aims to speed up the replacement of inefficient chillers and other cooling equipment that contain ozone-depleting substances (ODS).

The project is funded by a grant of $2.6 million from the Global Environment facility (GEF) and the Ozone Trust Fund worth $1 million.

The Peninsula Manila is the first beneficiary of the PCEEP.

“We hope that hotels, and manufacturing industries can follow this project so they can contribute to the  reduction of ozone depleting substances,” said DENR Secretary Ramon Paje during the recent ceremonial turnover of the subsidy to Peninsula Manila at the Ninoy Aquino Parks and Wildlife in Quezon City.

A chiller is the main component in refrigeration and air cooling systems in buildings.

The DENR said old chillers use as refrigerants  ODS and greenhouse gases such as chloroflourocarbins (CFCs) and hydroflourocarnbons (HFCs).

The Peninsula Manila enrolled in the PCEEP its 577 tons of refrigeration in December 2010. In May 2011, a sub-grant agreement was signed between DENR and the hotel to formalize its participation in the project.

In July 2012, the  new energy efficient chiller was installed in the hotel to serve its airconditioning needs.

PCEEP is carried out in support or the country’s commitment to the Montreal Protocol on Substances that Deplete the ozone layer and the Kyoto Protocol to the United Nations Framework on Climate Change.

The primary objective of the project is to reduce greenhouse gas emissions by replacing old chillers with energy efficient ones.

The project ends on Jan. 1, 2017. Throughout its lifespan, a total of 20 sub-agreements are expected to be signed.

Owners of new chillers enrolled in the program can turn their savings from electricity into revenues by selling these in the carbon finance trading under the Clean Development Mechanism.

Aside from the Peninsula Manila, also enrolled in the PCEEP are SM Malls, Trinoma, Greenbelt, Manila Pavilion, Waterfront Insular Davao Hotel, Marco Polo Davao, Philamlife, Bank of the Phlippine Islands, Security Bank, Philippine National Bank, and Lufthansa Airlines.

Government offices also enrolled in the program are the Bangko Sentral ng Pilipinas, Ninoy Aquino International Airport, Mactan Cebu International Airport Authority, Social Security System, and Cultural Center of the Philippines.