Business Insider

Waste-to-energy auction could offer up to 200 MW in capacity to bidders

Pinterest LinkedIn Tumblr
DAVAOCITY.GOV.PH

THE Department of Energy (DoE) may set an installation target of up to 200 megawatts (MW) for the special green energy auction (GEA) round focused on waste-to-energy (WTE) technology next year, with the projects scheduled for delivery in 2028.

According to the draft terms of reference, the DoE said the special auction round will be conducted exclusively for WTE projects employing thermal combustion technology, which will be eligible under Renewable Portfolio Standards.

The WTE projects will source their waste feedstock within Metro Manila and highly urbanized cities (HUCs).

The DoE is proposing to set the installation target at 170 MW, with an option to raise the total by up to 30 MW.

The installation target has initially been set at 20 MW each for Metro Manila and Davao, and 10 MW each for Bacolod, Cebu, and Cagayan de Oro.

According to 2024 estimates from the National Solid Waste Management Commission, Metro Manila and HUCs generate an estimated 6.12 million metric tons of municipal solid waste, which can be converted to 335 MW of baseload power.

WTE converts non-recyclable waste materials into usable heat, electricity, or fuel using various technologies.

Last month, the DoE announced that it will launch the special auction round in January 2026.

A succeeding auction round planned for the second quarter of 2026 will cover biomass and WTE projects.

“The integration of WTE projects into the GEA framework underscores the DoE’s commitment to ensuring energy security, environmental protection, and private sector participation in the country’s transitioning to clean and sustainable energy,” the DoE said.

The GEA program aims to promote renewable energy as a primary source of energy through competitive selection. The supply contract for winning renewable energy projects will run for 20 years, starting from the commercial operation date. 

As a flagship government initiative, the program is expected to contribute to the national target of achieving a 35% renewable energy share in the power generation mix by 2030 and 50% by 2040. — Sheldeen Joy Talavera