Business World Online
Posted on September 02, 2011 06:28:36 PM
CURRENT RELATIVELY high price of electricity from renewable energy should not prevent rural communities from benefiting from this resource, two winners this year of the Ramon Magsaysay Award said in a roundtable discussion in Manila last Thursday night.
But it will take government-private sector cooperation and a complete package of technology and financial resources to make sure this emergent resource benefits the poor, they said.
"We must capitalize on our countries’ natural resources through government-business community joint ventures which will harness our renewable energy sources," said Tri Mumpuni of Indonesia, who was cited for her efforts to promote micro hydropower technology in rural areas.
India’s Harish Hande, who was recognized for similar efforts involving solar power, said such a program needs to be comprehensive.
"We can help poor communities gain access to clean sources of energy by empowering them. For our program we have a three-fold strategy -- customizing our products, doorstep financing, and doorstep service. They need access to the technology and a link with credit institutions for financing," he said.
But some discussion participants noted a lack of unity within government itself in pushing renewable energy, with the Board of Investments, for instance, pushing a slowdown in development in this sector since its high rates will further jack up already high electricity prices at a time the agency is wooing more foreign investments.
"We cannot be pulled in opposite directions by the divergent views of government agencies. Renewable energy is not the impediment," said Catherine P. Maceda, managing director of the Center for Clean and Renewable Energy Development.
The Philippines passed Republic Act No. 9513, or the Renewable Energy Act, in 2008 but it is only now that regulators are finalizing incentives like the feed-in tariff (FIT) and renewable energy portfolio standards.
FIT is designed to encourage investors in renewable energy development by guaranteeing them payment, which will be passed on to consumers through a universal charge.
Renewable energy portfolio standards require a percentage of electricity distributed in the grid to be sourced from these new technologies.
The National Renewable Energy Board has proposed FIT rates of P7 per kilowatt-hour (kWh) for biomass-sourced power, P6.15/kWh for run-of-river hydroelectricity, P10.37/kWh for wind power, P17.65/kWh for wave technology power and P17.95/kWh for solar power. -- ENJD
"We must capitalize on our countries’ natural resources through government-business community joint ventures which will harness our renewable energy sources," said Tri Mumpuni of Indonesia, who was cited for her efforts to promote micro hydropower technology in rural areas.
India’s Harish Hande, who was recognized for similar efforts involving solar power, said such a program needs to be comprehensive.
"We can help poor communities gain access to clean sources of energy by empowering them. For our program we have a three-fold strategy -- customizing our products, doorstep financing, and doorstep service. They need access to the technology and a link with credit institutions for financing," he said.
But some discussion participants noted a lack of unity within government itself in pushing renewable energy, with the Board of Investments, for instance, pushing a slowdown in development in this sector since its high rates will further jack up already high electricity prices at a time the agency is wooing more foreign investments.
"We cannot be pulled in opposite directions by the divergent views of government agencies. Renewable energy is not the impediment," said Catherine P. Maceda, managing director of the Center for Clean and Renewable Energy Development.
The Philippines passed Republic Act No. 9513, or the Renewable Energy Act, in 2008 but it is only now that regulators are finalizing incentives like the feed-in tariff (FIT) and renewable energy portfolio standards.
FIT is designed to encourage investors in renewable energy development by guaranteeing them payment, which will be passed on to consumers through a universal charge.
Renewable energy portfolio standards require a percentage of electricity distributed in the grid to be sourced from these new technologies.
The National Renewable Energy Board has proposed FIT rates of P7 per kilowatt-hour (kWh) for biomass-sourced power, P6.15/kWh for run-of-river hydroelectricity, P10.37/kWh for wind power, P17.65/kWh for wave technology power and P17.95/kWh for solar power. -- ENJD
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