Germans plan to put up energy projects in Philippines

Manila: Ten German firms have expressed interest in putting up renewable energy projects in the Philippines as the southern island of Mindanao is expected to experience power outages early next year as a result of a production shortfall.

Philippine Ambassador to Berlin, Maria Cleofe Natividad, said 10 German companies are expected soon to come over to the Philippines in a special programme being organised by the German Agency for International Cooperation (GIZ).

The programme aims to familiarise the German firms with potential investment opportunities in the country for renewable energy, specifically on photovoltaic solar power generation.

Germany is a known leader in the field of renewable energy and the Philippines is eager to attract investment in these relatively new area.

During a recent workshop in Berlin, Natividad was quoted as saying by a report from the Department of Foreign Affairs that the Philippines is banking on the Germans to help energize Filipino households, particularly in the rural areas, where some homes are not connected to the local grid.

"The Philippines aims to provide electricity to 90 per cent of all households by 2017," which she added can "only be made possible by harnessing solar energy that can reach the most remote communities," where communities are few are far between. The country is an archipelago of several thousand islands and there are conditions where traditional grid systems is not practical as these are only viable in high-density populated areas.

Natividad added that while in 2010, the installed solar power capacity of the Philippines was only 0.01 percent or one-ten thousandth of the total installed capacity nationwide and may appear to be negligible, this however means that there is still a big potential for development and expansion.

As its currently stands, the Philippines has a shortfall in power generation. Several provinces, particularly those in Mindanao, experience several hours brownouts during the summer season.

The main southern isladn is heavily reliant on hydropower generated by dams, this is the reason power outages are predominant during the summer when there is a lack of rainfall coming to the reservoirs.

Representative Florencio Flores who represents one of three congressional districts in the province of Bukidnon in Central Mindanao, has recently filed a bill that proposes the establishment of solar power plants in the area to provide renewable energy.

In his proposal, Flores pointed out that the entire island of Mindanao would require a generating capacity of 1,300 megawatts and that a solar field could at least provide 100 mw of this requirement.