DENMARK’S Copenhagen Infrastructure Partners (CIP), a global investor in renewable energy infrastructure, expects its investment in the Philippines to reach $30 million (around P1.7 billion) by mid-next year.
“Our intention until about mid-next year, when we expect the GEAP (green energy auction program) to take place, is to spend roughly $30 million or so on development activities,” CIP Partner Robert Helms told reporters late Tuesday.
He said that a portion of the estimated investment is already “contractually committed.”
“We are working very hard on procurement of all the components that we will need. We are working on the geotechnical and geophysical surveys,” CIP Associate Partner Przemek Lupa said.
“I think we’re also contributing very much to sharping next year’s GEAP, particularly for offshore wind,” he added.
In March last year, the Department of Energy (DoE) inked three offshore wind service contracts with Copenhagen Infrastructure New Markets Fund, an affiliate of CIP.
The three projects have a combined capacity of 2,000 megawatts (MW) to be developed in Pangasinan, northern Samar, and Camarines Sur. Each service contract has a 25-year operating period.
CIP is developing a 1,000-gigawatt (GW) offshore wind power project in San Miguel Bay in Camarines Sur; 650-MW wind power project in northern Samar; and 350 MW in Dagupan site in Pangasinan.
The company is also gearing up for the 300-MW onshore wind project in northern Luzon.
The projects are targeted to be completed within the current administration.
Mr. Helms said the company expects a capital expenditure of roughly $5 billion for the offshore wind projects and about half a billion for the onshore wind project.
In July, Energy Undersecretary Rowena Cristina L. Guevara said that the department was planning to conduct a fifth round of GEA for offshore wind energy in the middle of 2025.
The GEA program aims to promote renewable energy as one of the country’s primary sources of energy through competitive selection.
The program is expected to help realize the government’s target of 35% renewable energy share in the energy mix by 2030 and 50% by 2040.
The DoE opened the renewable energy sector to full foreign ownership in 2022, which was previously limited to 40%.
To date, the DoE has awarded 92 offshore wind energy service contracts to 38 renewable energy developers with a total potential capacity of 66.101 GW.
Under the Philippine Offshore Wind Roadmap, the Philippines has a potential capacity of about 63 GW from tapping offshore wind resources.
Asked if CIP would be interested in other technologies, Mr. Helms said that it is open to “everything renewable” such as solar and battery energy storage systems. — Sheldeen Joy Talavera