Fostering the growth of the renewable energy sector in the Philippines, the Department of Trade and Industry, through the Board of Investments One-Stop Action Center for Strategic Investments (BOI-OSACSI), awarded the Certificates of Endorsement for Green Lane services to the two largest pumped storage hydroelectric power projects in the country, developed by Prime Infrastructure Inc.
This endorsement underscores the Philippine government’s continued commitment to sustainable energy solutions and clean power generation.
Trade Secretary Fred Pascual presented the Certificates of Endorsement to Enrique Razon Jr., Chairman of the Board of Prime Infrastructure.
These endorsements were granted for the 1400MW Pakil Pumped Storage Hydroelectric Power Project of Ahunan Power Inc. and the 600MW Wawa Pumped Storage 1 Hydroelectric Power Project of Olympia Violago Water & Power, Inc., both subsidiaries of Prime Infrastructure under the Razon Group.
“The Department has been proactive in the promotion and facilitation of renewable energy investments through the green lane initiative.”
“As the Philippines strives for inclusive and equitable economic growth, we at the DTI recognize the need to expand our energy sources, particularly to clean and sustainable ones. The DTI remains steadfast in our ongoing efforts toward secure, sustainable, and resilient energy strategies to fuel our nation’s growing economic development. The Department has been proactive in the promotion and facilitation of renewable energy investments through the green lane initiative,” Pascual said as he highlighted the imperative of sustainable energy initiatives.
The significance of this occasion was underscored by the presence of not only the trade chief and Finance Secretary Ralph Recto, but also Prime Infra President and CEO, Guillaume Lucci.
They were also joined by DTI Undersecretary and BOI Managing Head, Ceferino Rodolfo, DOF Undersecretaries Catherine Fong and Maria Luwalhati Dorotan Tiuseco, and DOE Undersecretary Sharon Garin.
With a project investment of $5.03 Billion or over P296 Billion, the 1400 MW Pakil project is expected to be among the largest pumped storage power plants in Asia. Its capacity and reliability make Ahunan Power a crucial player in the Philippines’ efforts to transition to a clean energy future.
Once operational, it will be able to supply 10 to 12 hours’ worth of 1200MW power daily to as much as 2 million households. Ahunan Power is slated to initiate operations by 2030, thereafter serving as essential infrastructure to facilitate the Philippines’ transition to an expanded renewable energy mix by 2030 and 2040.
Scheduled to commence operations by 2030, it will serve as vital infrastructure for the Philippines for a duration of 35 years, ensuring sustainable energy solutions until 2064.
Furthermore, the Wawa Pumped Storage Power Project, situated in Rizal, is poised to bolster the ancillary, energy supply, and storage needs of the power grid. With a storage capacity of 6,000MWh/day and a generating output capacity of 600MW, this project represents an investment of over $2.57 billion or over P143 billion. Scheduled to commence operations by 2030, it will serve as vital infrastructure for the Philippines for a duration of 35 years, ensuring sustainable energy solutions until 2064.
The pumped storage hydroelectric power projects are primarily designed to address the anticipated influx of variable renewable energy by storing excess capacity in the grid when there is an oversupply from renewable energy projects and releasing the same back to the grid when needed.
As the country’s economic development continues to expand, there is a pressing need for the growth of the Philippines’ energy sources, particularly in the realm of clean and sustainable energy. The BOI plays a pivotal role in positioning the Philippines as a regional hub for smart and sustainable manufacturing and services.
In line with this vision, investments in the renewable energy sector are anticipated to surge, catering to the escalating power demands of these burgeoning industries. Consequently, renewable energy projects emerge as strategic investments, bolstered by the full support of the government through initiatives such as Executive Order 18.
“In our energy portfolio, we are strategically aggressive in the pumped storage space, given the critical role these projects will play in enabling government transition commitment. Given the complexity of these projects, the green lane endorsement of DTI and BOI will significantly assist Prime Infra and its subsidiaries in expediting the execution of these initiatives,” stated Razon, Prime Infrastructure Chairman.
Recto emphasized the Department’s commitment to support such projects.
“Rest assured, the Department of Finance will continue to work hand in hand with the private sector to foster an enabling environment where strategic, innovative, and sustainable projects like these can thrive,” the finance chief added.
The DOF is part of the technical working group for Executive Order 18.
Executive Order 18, Constituting Green Lanes for Strategic Investments is among the significant reforms that President Ferdinand R. Marcos Jr. has enacted to address the “pain points” faced by investors when doing business in the country. Through a whole-of-government approach, EO 18 aims to ease the “barriers” across multiple regulatory agencies that hamper the realization of strategic investments in Clean Energy, Infrastructure, Green Metals, Electric Vehicle and Pharmaceutical industries.
Operating as the sole entry point for these investments, BOI-OSACSI will expedite the processing of permits and licenses of the endorsed project, ensuring the fast realization of renewable energy investments in the country.
