Tariff schedule for renewable energy delayed anew

Manila Times.net
BY EUAN PAULO C. AÑONUEVO REPORTER

THE release of the feed-in-tariff (FIT) for renewable energy projects has been delayed anew after the body tasked with the matter sought more time to come up with the rates. Francis Saturnino Juan, Energy Regulatory Commission (ERC) executive director, said the regulator has granted a 30-day extension to the National Renewable Energy Board (NREB) to submit its recommended FIT scheme. NREB was given until November 4 to come up with the tariffs.

“They requested for another 30-day extension so deadline will be on December 4 to submit. We already sent our reply granting the extension,” Juan said.

The ERC initially set an August deadline for the NREB but the body requested for a two-month extension to complete its computations.

NREB is unable to meet its November deadline because its new head, Pete Maniego, has just been appointed. Maniego was president of state-owned Philippine National Oil Co.-Renewables Corp.

NREB is tasked with overseeing the implementation of Renewable Energy Act of 2008, which was crafted to spur investments in green power sources such as solar, wind, ocean, run-of-river hydroelectric power and biomass projects.

These power sources have previously been shunned by investors because of high costs and a limited market compared with fossil fuel based plants.

To guarantee investors’ returns, NREB was to determine the appropriate tariff levels for different renewable energy projects over a set period. Once completed, the FIT would require ERC approval.

Under a recent set of draft rules issued by the ERC, consumers would have to shoulder the FIT of renewable energy projects under a uniform charge similar to the universal charge in current electricity bills.

The amount collected from this tariff will then be distributed to renewable energy developers based on their approved FIT.