As Albay takes steps towards renewable energy (RE) transition, the Albay Renewable Energy and Investment Summit was held with the theme “Igniting Innovation, Fueling Investment: Albay 100% Renewable Energy Now” on September 27-28, at the Oriental Hotel, Legazpi City.
The provincial government of Albay (PGA) spearheaded the said event in partnership with the Philippine Movement for Climate Justice (PMCJ), attracting key stakeholders, including government officials, private leaders, and international representatives, which explore Albay’s potential in making big steps for a greener future.
The event addressed wide topics, perspectives on renewable energy, the climate crisis, and other aspects relating to the ways of achieving net zero in the future, and it attracted at least 18 local and foreign investors eager to connect into Albay’s renewable energy prospects.
Support for Renewable Energy Development
Gerry P. Magbanua, president and co-founder of Alternergy Holdings Corp., commended the aggressive initiatives by local government units (LGUs) in pushing for renewable energy projects.
Magbanua shared Alternergy’s collaboration experience, including the North Wind project in Ilocos Norte and solar projects in Misamis Oriental, pointing out that all of which were successful due to strong LGU partnerships.
“We are excited to see the potential in Albay. The resources here, we just need to make sure all the developmental challenges that we have to hurdle and to address. With the strong support, and I feel the support of the LGU, these challenges can be overcome with the strong partnership with LGU,” Magbanua said.
Marissa Cerezo, director IV of the Department of Energy (DOE), shared that the government’s target is to increase renewable energy in the power generation mix to 50 percent by 2040. She commended Albay’s ambitious goal of achieving 100 percent renewable energy by 2030 and realizing the need for significant investments to realize this vision.
According to Cerezo, the government’s commitment to actively work on “implementing and innovating arrays of policies” makes it easier to develop projects and makes foreign investors invest in the projects of the Philippines.
“In the 2023 Bloomberg Climate Report, the Philippines ranked fourth among the most attractive emerging markets for power sector investment. The report noted that the country stood out for its strong renewable energy targets and supportive policies. This helped increase clean energy investment by 41 percent from 2021 to 2022, reaching 1.34 billion U.S. dollars. While the groundwork for the energy transition is in place, there is still much to be done. With the right policies and collective efforts, achieving our energy goals is within reach,” Cerezo explained.
Meanwhile, Rose Qunito-Rey, representative of the chamber of commerce, expressed her full support for Albay’s renewable energy initiatives, emphasizing the importance of everyone’s responsibility. She said that the success of the projects depends on collective effort and long-term commitment.
Foreign perspective and support
Lloyd Camero, economic and climate change counsellor of the embassy of the United Kingdom (UK) in the Philippines, lent his insights about climate change possessing one of the greatest risks to global economies.
He shared the UK’s successful transition away from coal over the past decade, reducing reliance from 40 percent to 0 percent. The UK takes the lead in offshore wind energy and solar power, relying on strategic investments and political will.
Camero complimented the potential similarity of rapid transition in the Philippines to the UK, particularly in Albay, but he noted the importance of the localization, partnership, and mobilization of private investment.
“The key is localization and building community support for the transition, showing the tangible benefits of renewable energy to local people,” Camero explained.
Meanwhile, another global perspective is from H.E. Yang Gouliang, representing the Chinese government, provided his perspective about China’s advancements in renewable energy.
He said that China leads globally in new energy technology, having reduced the cost of photovoltaic technology by 90%.
“China stands ready to work with Filipino friends to promote renewable energy projects, especially in solar energy,” Gouliang said.
Gouliang stressed China’s will to collaborate with the Philippines on solar energy projects, particularly in regions like Albay.
LGU Addressing Climate Change
Albay governor Edcel Grex Lagman announced a state of climate emergency in Albay in October 2023, after seeing how the province was affected thoroughly by the typhoon. The province is also vulnerable to different natural calamities affecting people’s lives.
The negative effects of climate change, such as damage to the community and infrastructure, will worsen due to global warming. As the Bicol region is prone to typhoon visits and other natural disasters, the government emphasizes the urgency of thoughtful, immediate action to mitigate the effects of global warming.
“It takes a lot of courage to do this. Some say that it is impossible to do this, but you know, I believe that when you present this in a way that people can understand the urgency they need. So, we are ready,” Lagman claimed.
Human Rights and Foreign Investors
Lagman, when asked about the community and human rights, emphasizes the importance of attracting large landowners for renewable energy projects, particularly solar farms, while ensuring that no formal or informal settlers are displaced. He assured that the strategy aims to balance development with the well-being of local communities.
“The Alsuwa property in the third district is being considered as one of our potential venues; if I may use that word, in developing solar farms, no one will be affected if a solar farm will be built in. We have to make sure that people are not displaced, and people will eventually be employed, so the job relation potential is huge,” the governor asserted.
In terms of the foreign investor policy, Cerezo reiterated that in the year 2022, the government has already lifted restrictions on foreign investment in renewable energy, allowing 100 percent foreign ownership, though challenges like access to public land, which is limited to Filipino citizens, remain.
“Hundred percent foreign corporations can invest in renewables. But I know you understand that there are still some aspects of project development that you need to hurdle, like access to land, especially if it is public. Because there is a law in the list of public land that is only limited to Filipino citizens,” Cerezo explained.
Cerezo advised that LGUs must have an important part in helping foreign investors access public land through partnerships; she cited a successful example in Mindanao where the LGUs provided the land for a renewable energy project.
Albay became the first province in the Philippines to declare a climate emergency in October 2023, partnering with the Philippine Movement for Climate Justice to develop renewable energy projects.
With over 1 gigawatt of renewable energy available, the province aims to become a hub for renewable energy in the Bicol region, with a vision to generate 10 gigawatts by 2030. I Alliah Jane Babila