Indonesia vows steady coal supply
‘We discussed with Indonesia to make sure that the Philippines continues to have access to regular coal supply’
Daily Tribune‘We discussed with Indonesia to make sure that the Philippines continues to have access to regular coal supply’
$100 shock coming The fuel price surge is being felt worldwide as prices are seen at a gas station in Los Angeles on 28 September. California gas prices are nearing $7 per gallon in some locations as oil prices surge toward $100 a barrel. | Robyn Beck/Agence France-Presse
The Department of Energy said the country, which is still heavily reliant on coal in generating electricity, will not have a shortage of the fuel to power up power plants through an agreement with Indonesia.
"We discussed with Indonesia to make sure that the Philippines continues to have access to regular coal supply. Indonesia reiterated to us its assurance that the Philippines will continue to get continued supply for its coal-fired power plants," Energy Secretary Raphael Perpetuo Lotilla said at a recent press briefing.
About 80 percent of the coal supply used for plants and non-power purposes is imported. Of this, 98 percent is sourced from Indonesia.
Indonesia, the world's biggest thermal coal exporter, previously banned coal export after its state power utility reported dangerously low inventory levels of the fuel at its domestic power stations.
"But that now they gave an assurance that they will make sure that we will have an uninterrupted supply. We will also discuss a Memorandum of Agreement or Cooperation about an emergency response or assistance in case of again of supply constraints," Lotilla explained.
Emergency deal
This means that members of Brunei Darussalam–Indonesia–Malaysia–Philippines East ASEAN Growth Area can have arrangements whenever there are constraints.
Based on the targets set by the DoE, the share of renewable energy in the country's energy mix should increase to 35 percent by 2035 and 50 percent by 2040.
However, it is still notable that despite an aggressive stance on clean energy utilization, the Philippines still heavily relies on coal.
Coal, which is cheaper compared to other forms of power but more detrimental to the environment, is still the highest contributor to the power generation mix at nearly 60 percent.
Renewable energy only takes a little over 20 percent of the mix as of end-2022.
