• Sun. Oct 2nd, 2022

Oil & Gas Australia

Australasia’s Leading Oil & Gas Journal. Providing all the latest news, updates and developments in the oil & gas industry, sourced locally and from around the world.

New Roadmap Shows Potential for 40GW of Offshore Wind by 2050 in the Philippines

Apr 20, 2022

A new roadmap released today by the Department of Energy (DOE) and the World Bank Group (WBG) shows that the Philippines has potential to install 40GW of offshore wind power with the right long-term vision, infrastructure development, investment, and policies.

The Philippines Offshore Wind Roadmap charts out the potential for developing a robust offshore wind industry in the Philippines in two potential scenarios. The low growth scenario provides a roadmap for installing offshore wind at levels in line with the DOE’s national renewable energy program, and the high growth scenario provides a roadmap for installing much higher levels that could be sufficient to drive competition, investments, and more cost reduction.

Analysis of the low growth scenario suggests that the Philippines has the potential to install 6GW of offshore wind by 2050, making up 5 percent of the country’s electricity supply. Analysis of the high growth scenario shows the potential to install 40GW making up 45 percent of its electricity supply.

To achieve these scenarios, the roadmap provides guidance on actions that must be taken by the government in collaboration with the stakeholders, including putting in place a long-term plan for offshore wind until 2050 as part of a decarbonized energy mix; establishing offshore wind development zones through further marine spatial planning; investment in transmission, port and other energy infrastructure upgrades; increasing collaboration with industry and other relevant government agencies; among others.

“The Philippines has a rapidly growing demand for power,” said DOE Secretary Alfonso G. Cusi . “It is clear from this roadmap that offshore wind can play a major role in meeting our country’s energy demand indigenously, while also accelerating decarbonization.”

According to Mr. Jie Tang, WB Energy Practice Manager for East Asia and Pacific Region, the Philippines has 178 GW of technical offshore wind potential. “Our analysis of the high growth scenario suggests that offshore wind power could create thousands of jobs by 2040, as well as provide US$30 billion in cumulative net benefit back to consumers compared to coal power generation by 2050,” said Mr. Tang.

Ndiamé Diop, the World Bank Country Director for Brunei, Malaysia, Philippines, and Thailand, said that with roadmap, the Philippines is taking its first step towards building an offshore wind industry and contribute to national energy security and the global efforts to mitigate climate change. “The Philippines’ waters have conditions that are well-suited to offshore wind. This abundant, indigenous energy resource offers an opportunity for the Philippines to boost energy security, reduce greenhouse gas emissions, and increase renewable energy supply,” he added.

“While there may be challenges along the way, continuing forward with this collaboration and dialogue between the DOE and all stakeholders, and setting a long-term vision for industry growth will help overcome these challenges and deliver significant benefits to the country for decades to come,” said WBG Offshore Wind Development Program co-lead, Mark Leybourne.

This Roadmap is one of a series of offshore wind roadmap studies commissioned by the WBG under the joint Energy Sector Management Assistance Program-International Finance Corporation (ESMAP-IFC) Offshore Wind Development Program. Funding for this study was provided by the ESMAP. The roadmap has been prepared with the consultation of more than 150 stakeholders from a wide range of public and private representatives from across the global offshore wind industry.

This roadmap provides strategic analysis of the offshore wind development potential in the Philippines, considering the opportunities and challenges under different, hypothetical growth scenarios. The goal is to provide evidence to support the Government of the Philippines in establishing policy, regulations, processes, and infrastructure to enable successful growth of this new industry.

The roadmap was initiated by the World Bank country team in the Philippines under the umbrella of the World Bank Group’s (WBG’s) Offshore Wind Development Program—which aims to accelerate offshore wind development in emerging markets—and was funded by the Energy Sector Management Assistance Program (ESMAP) in partnership with the International Finance Corporation (IFC).

Click to view/download PDF file of Offshore Wind Roadmap for the Philippines

About the World Bank Group’s Offshore Wind Development Program

The joint ESMAP-IFC Offshore Wind Development Program’s aims to accelerate the uptake of offshore wind in emerging markets. It supports the inclusion of offshore wind into the energy sector policies and strategies of World Bank Group client countries. The Program was started in 2019 and is already actively supporting 10 governments to explore their offshore wind development potential. For further information, visit: https://esmap.org/offshore-wind