Chinese firms eye Phlas equipment manufacture site
‘I think they will provide this equipment to be manufactured here to the 79 service contracts issued already by the Department of Energy’
Daily Tribune‘I think they will provide this equipment to be manufactured here to the 79 service contracts issued already by the Department of Energy’
Photograph by Raffy Ayeng for the daily tribune Board of Investments managing head, Undersecretary Ceferino Rodolfo, on Thursday reveals two Chinese renewable energy firms are considering the Philippines to place their RE-manufacturing firms here in the country, with a projected cost of $4 billion in total, in Makati City.
Two Chinese firms manufacturing equipment for windmills have signified interest in putting up shop in the Philippines.
In an ambush interview at the sidelines of the memorandum of understanding between the Philippine Chamber of Commerce and Industry and the Japan Chamber of Commerce and Industry, Board of Investments managing head, Undersecretary Ceferino Rodolfo said these still-unnamed Chinese companies sought the agenc's help in finding ideal locations for their manufacturing sites.
"These Chinese companies are involved in offshore wind energy. They are manufacturers of towers, turbines, and blades. One company manufactures monopile towers, while the other manufactures turbines and blades. It is a big-ticket investment that hopefully we can close this year. They have already visited the Philippines to look at different locations," he said.
Hubs for manufacturing equipment
He said that in terms of renewable energy, the opportunity for the Philippines is not just in the development of projects to deliver renewable energy, but also in the hubs for manufacturing equipment and components needed for the RE.
"I think they will provide this equipment to be manufactured here to the 79 service contracts issued already by the Department of Energy. Those will be the prospective buyers for them. That, I hope, will attract more investments in such industries," Rodolfo added.
Amending IRR of 2008's Energy Act
In November 2022, the DoE amended Section 19 of the Implementing Rules and Regulations of the Renewable Energy Act of 2008, allowing foreign citizens or foreign-owned entities to engage in the exploration, development, and utilization of the country's renewable energy resources such as solar, wind, biomass, ocean, or tidal energy.
Rodoldo said if the deal is closed this year, it may help the government reach the P1.5 trillion investment target set by Trade Secretary Alfredo Pascual for this year.
"Each project costs $2 billion, so $4 billion in total," Rodolfo said.
