ERC Issues Resolution Adopting the Green Energy Auction Reserve Prices for the First Round of Auction

In 2020, the Department of Energy promulgated the guidelines governing the Policy for the Conduct of Green Energy Auction in the Philippines, or Department Circular No. DC2020-07-0017 (“DC2020-07-0017”). The Green Energy Auction was established to facilitate contracting by Qualified Suppliers with Qualified Customers through a competitive process or auction. In this arrangement, Qualified Suppliers can offer to supply a specified volume of electricity generated by their facilities to Qualified Customers at prices at or below the Green Energy Auction Reserve (“GEAR”) Price. The GEAR Price, which is the maximum price offered in PhP/kWh, is to be determined by the Energy Regulatory Commission (“ERC”) pursuant to applicable laws and the provisions of DC2020-07-0017. 

On 26 May 2022, the ERC issued Resolution No. 02, Series of 2022, which adopted the GEAR Prices for the First Round of Green Energy Auction Program as follows:

The ERC also attached the parameters used to derive the above-mentioned GEAR Prices as Annexes A, B, C, and D. For more information, please refer to the issuances page of the ERC.