Philippines DoE considers rationed port access for offshore wind developers
The Philippine Department of Energy is considering a plan to ration port access for offshore wind developers, granting priority to bidders with the earliest delivery commercial dates. The plan comes after the DoE postponed the fifth green energy auction, citing port readiness and supply chain issues
The Philippine Department of Energy (DoE) is considering an arrangement that would ration port access among offshore wind developers, allocating exclusive use of designated ports to one winning bidder at a time for up to 27 consecutive months. The proposal is contained in a draft department circular, after the DoE postponed the fifth round of the green energy auction (GEA-5), which is dedicated to offshore wind, to recalibrate the framework.
Only ports administered by the Philippine Ports Authority (PPA) are allowed to undertake the assembly and installation of GEA-5 winning projects under the plan. “Winning bidders with the earliest DCD (delivery commercial date) shall have priority access to the identified PPA-administered port for the implementation of their respective OSW projects,” the draft circular states.
Each port can host a maximum of two developers consecutively, with access determined by the delivery commencement period for GEA-5. The auction proper for GEA-5, which had an installation target of 3,300 megawatts for delivery between 2027 and 2030, was supposed to take place on Aug. 27 but has been put on hold.
The reasons for the delay include port readiness, permit requirements, environmental and cost factors, and the potential impact of global supply chain disruptions, including those arising from the conflict in the Middle East. Despite growing interest in offshore wind development, no ports are as yet ready to service the projects.
The PPA is currently exploring partnerships with the private sector for the repurposing of two ports — the Sta. Clara Port in Batangas and Mercedes Port in Camarines Norte. The Philippines is hoping to deliver the first kilowatts from offshore wind generation by 2028 to tap over 178 gigawatts of potential capacity. The DoE has awarded 95 offshore wind service contracts, representing a potential capacity of 72 GW.
