DOE sees risks in slow project rollout

The Department of Energy (DoE) warned that the country risks wasting its momentum in attracting investors unless it rapidly improves execution, grid readiness, and critical infrastructure needed to support large-scale energy projects.

In an interview with reporters on Monday, Energy Undersecretary Mylene C. Capongcol said the government is now “moving deliberately from plans to projects, from commitments to concrete outcomes,” stressing that “energy security is no longer a technical aspiration, it is a national imperative.”

However, she noted that the country’s vulnerability to climate shocks and fuel price spikes makes delays particularly costly. 

“Every disruption in fuel supply, every spike in global prices, and every extreme weather event directly threatens our economy, our communities, and our most vulnerable citizens,” Capongcol said.

Despite energy projects accounting for 58.74 percent, or P479.78 billion, of investment approvals this year, Capongcol warned that project rollout remains slow. “Interest alone does not build power plants. Execution does,” she said, citing bottlenecks in transmission, permitting, supply chains, logistics, and financing.

The DoE is pushing to accelerate projects supporting its target of a 35 percent renewable energy share by 2030 and 50 percent by 2050. This includes offshore wind—estimated at 19 to 50 gigawatts—but Capongcol said these opportunities depend on upgraded ports, stronger grids, and better coordination across agencies. 

“We are upgrading port infrastructure to support the first round of the offshore wind projects and, eventually, large-scale clean energy development,” she said.

To address grid constraints, the Smart Green and Grid Plan will soon be embedded in the transmission development roadmap. 

Capongcol noted that the Mindanao-Visayas Interconnection Project marked progress toward a unified grid, but stressed that more capacity and flexibility are required. “Generation alone is not enough,” she said, calling for investments in “ports, transmission, energy storage, system flexibility, and domestic manufacturing.”

The DoE is also pushing electrified transport as part of long-term energy security. The 10 percent EV penetration target by 2040, backed by EVIDA and CREVI, is “not merely a clean transport agenda” but “a strategic energy security strategy that strengthens domestic manufacturing and reduces our oil or fuel vulnerability,” Capongcol said.

Ahead of the Philippines’ ASEAN chairship in 2026, Energy Director Michael Sinocruz said the country will prioritize stronger regional energy connectivity through an enhanced ASEAN Power Grid. This includes forming policy, regulatory, and technical task forces, as well as drafting guidelines for cross-border submarine power cables, with the Philippines serving as the governance lead.

Sinocruz said these efforts align with the ASEAN Plan of Action for Energy Cooperation 2026–2030 and are expected to support a more integrated regional power market, enable multilateral power trading, and ease renewable energy integration.

The Philippines will host 34 energy meetings under its 650-event ASEAN chairship, with discussions focused on access, innovation, system resilience, and investment.