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Philippines' Stranded Coal Plants: A Growing Risk.pdf

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Preview of Philippines' Stranded Coal Plants: A Growing Risk
🔗 Source: ieefa.org
📊 Size: 3.13 MB
👤 Author: Maura McGrath Kristoff
⬇️ Downloads: 20

Summary

- Philippines' Coal Expansion: 10,423 MW (US$20.8 billion) of coal expansion is planned, adding to existing 7,419 MW capacity.
- Stranded Coal Assets: Excess capacity, particularly in Mindanao, is leading to underutilization and stranded costs. From 2014 to 2016, Mindanao's stranded costs were conservatively estimated at Php 3 billion (US$60 million).
- Risks and Challenges: Coal's dominance faces challenges from retail competition, LNG, and renewable energy cost deflation. Stranded assets can lead to higher electricity rates for consumers or losses for investors.
- Meralco's Atimonan Power Project: One of the 3,351 MW PSAs submitted to ERC, it illustrates Meralco's attempt to protect ratepayers from stranded assets. However, Meralco should consider more natural gas and renewable energy options.
- Policy Recommendations: To enhance national energy security and consumer benefits, policymakers should adopt open-procurement competition, diversify generation, and reduce reliance on imported coal.

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Description

It explores the economy-electricity nexus, the rise and risks of coal, and the challenges from natural gas and renewables. The report includes a case study on Meralco and the Atimonan Power Project.

Technical Information

  • File Format: PDF
  • File Size: 3.13 MB
  • Pages: 82
  • Language: EN
  • Author: Maura McGrath Kristoff
  • Total Downloads: 20
  • Last Updated: 8 hours ago

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