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  • Electricity/Power Grid
  • Renewables
11 May 2019

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  • Philippines

Solar energy is the future of power sector, the Renewable Energy Association of the Philippines (REAP) said, enticing German firms to invest on solar rooftops and microgrid plants.

“Renewable energy is part of the whole energy efficiency value chain. It is worth looking into what we can invest on in employing these different technologies,” REAP President Erel Narida said during an event hosted by German-Philippine Chamber of Commerce and Industry (GPCCI) in Makati City on Tuesday.

Narida said that Luzon was at 94.8 percent electrification level according to latest data, which means that the island group is now “looking for savings” in terms of energy consumption.

Installation of solar rooftops is seen as a long-term cheap alternative energy source, Narida said, citing a report that it would comprise one-third of the all solar energy fixtures in the Philippines by 2030 from increasing popularity.

He also noted that, according to a North Carolina-based firm research, the total solar energy generation capacity of the country was targeted to reach 8,700 megawatts in 12 years.
Narida said German firms could also look into incorporating generator to energy management system of solar power plants, in addition to energy storage systems.

Apart from solar rooftops, Narida said there were also opportunities in developing renewable energy source based on island electrification through hybrid micro-grid plants.

Hybrid plants, which are run by solar energy and diesel, are available in 1,792 islands with capacity ranging from 100 kilowatts (KW) to 400 KW, he added.

He stressed, however, that microgrids were not limited to solar power only, other available resources, such as hydro energy, could be utilized as well.

Recently, Narida said that a 900-KW Wind power microgrid in Romblon island not only supplies power to households but also caters to charging batteries of electric vehicles there. There are currently 16 charging stations, he added.

GPCCI Executive Director Martin Henkelmann is “positive” the renewable energy sector in the Philippines is bullish with opportunities.

“We have a delegation of seven companies of which most of them are not yet in the Philippines. They are looking for partners and corporations here,” Henkelmann told reporters on the sidelines of the event.

“Investment decisions take some time, so if they have good meetings might not be realized this year, but in the beginning next year,” he added.

  • Renewables
11 May 2019

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  • Indonesia

As reported in Indonesia this week, the country has moved electricity licensing services to an Online Single Submission (OSS) service which can be accessed on the website http://oss.go.id, which is currently handled by BKPM since January 2, 2019. OSS itself was officially launched in July 2018 under the Coordinating Ministry for the Economy.

One of the permits handled in the OSS system is the licensing process to build a power plant.

“There are 6 general electricity licenses that have entered OSS, as well as four additional permits for geothermal plants, all of which have now been processed through OSS,” said Head of the Public Information Services Communication Bureau and Cooperation of the Ministry of Energy and Mineral Resources, Agung Pribadi. Four geothermal permits that can be processed through OSS include the Assignment of Preliminary Geothermal Survey, Geothermal Permit, Geothermal Support Business Agreement, and Permit for Use of Geothermal Explosives Warehouse.

Agung said that licensing for the construction of power plants handled by the Ministry of Energy and Mineral Resources through OSS was only 2 (two) permits, namely the Electricity Supply Business License (IUPTL) and Electricity Support Services Business License (IUJPTL).

“IUPTL and IUJPTL can immediately be given to developers through the OSS system after the developer conveys a commitment to fulfill the requirements as stipulated in ESDM Ministerial Regulation Number 39 of 2018 concerning Electronically Integrated Business Licensing Services in the Electricity Sector,” he explained.

In detail, Agung explained that six electricity business licenses that can be processed through OSS.

  • Electricity/Power Grid
  • Energy Cooperation
  • Energy Economy
10 May 2019

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  • Myanmar

“We will buy 1000MW by 2021 but it is impossible to use all the electricity. We will resell the excess,” U Soe Myint said.

The electricity will be transported from Dohon in China to Muse, Mine-ye, Hopone, Loikaw and Phayagyi. “Even if we are not able to buy the entire 1000MW, we will purchase at least 300MW,” said U Tin Maung Oo.

While Myanmar and China have both signed an initial agreement for the purchase, the authorities still need to discuss pricing and whether the public can afford the additional supply of power.

“As more electricity is urgently needed, we need to be careful to ensure the price is viable and reasonable for Myanmar and not purchased at a loss,” U Tin Maung Oo said, adding that the final pricing structure will be transparent and made available to the public.

The country is currently experiencing a 600MW shortage of electricity and this is expected more than double to 1500MW in the coming year, according to the MOEE’s estimates. While several hydropower projects are currently being implemented, these will take a much longer time to complete due to disagreements over the use of land and.

Meanwhile, coal-fired projects have come under scrutiny for their damage to the environment while details on several other power plants expected to come onstream have not been revealed, said U Soe Myint.

Electricity shortages are an ongoing problem for Myanmar, where existing power supply lags demand. To plug the gap, the authorities have resorted to buying electricity overseas. Last year, the MOEE signed an MOU to purchase power from Laos. The year before, a deal for a Turkish floating power unit to deliver additional power to Yangon was inked but has yet to materialise.

To prevent load reduction due to insufficient power generated in summer 2020, the MOEE is also seeking additional supply of electricity to be powered by liquefied natural gas (LNG), which will be delivered to Myanmar on floating power barges. U Tin Maung Oo said.

The power barges will include LNG tanks and regasification technology, enabling the gas to be distributed to the nearest power station. Prices and locations for other areas in which power is in short supply are still under negotiation.

  • Electricity/Power Grid
10 May 2019

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  • Myanmar

YANGON, May 10 (Xinhua) — Myanmar is targeting to raise the percentage of national electricity access to the power grid to 55 percent in fiscal year 2020-2021 from the current 44 percent, an official of the Ministry of Electricity and Energy has said.

Permanent Secretary of the ministry U Tin Maung Oo told a press conference in the capital of Nay Pyi Taw late Thursday that the ministry will also strive to increase the percentage of electricity access to up to 75 percent in 2025-2026 and 100 percent in 2030-2031.

He said the ministry has increased the output by 13 percent during the incumbent government’s first year in office in 2016 and by 12 percent in the second year of 2017.

Under the National Electrification Plan, he said, the government was able to provide electricity with nine towns including 2,440 villages with 520,000 households within one year, adding that the electrification coverage rate has reached 54 percent with 34,146 villages out of 63,277.

Meanwhile, foreign investment in Myanmar’s power sector totaled 21 billion U.S. dollars as of the end of February 2019 ranking the second sectorally after oil and gas since late 1988 when the country started to open to such investment.

  • Energy Cooperation
  • Energy Economy
10 May 2019

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  • Lao PDR

A business meeting between representatives of Laos’ Ministry of Energy and Mines, Electricite du Laos (EDL), and Kepco as well as related sectors from Lao and the Republic of Korea was held in Vientiane last week.

“The Ministry of Energy and Mines is aware of the importance of modern technology which will increase our energy generation as well as distribution capacity. We are pleased about the cooperation between EDL and Kepco in the energy sector,” a ministry representative said.

“For this project, Kepco has installed a simulated GIS substation at EDL and organised a training course for EDL staff. We look forward to benefiting from cooperation between the two companies and from Kepco’s international experience in the use of advanced technology, especially the technology used in the energy sector,” he added.

The event was organised by the Korea Trade-Investment Promotion Agency (Kotra) to introduce new technologies from Kepco such as energy storage systems, smart city, digital transformation and others to Lao power companies. It also aimed to promote export products to partner companies.

About 10 Lao power companies attended the meeting and discussed products and the latest technology from Kepco as well as the most efficient ways to order and use them.

“We want to cooperate with Kepco and Lao power companies in technical exchange. On this occasion, we invite power companies in Laos to participate in the Electric Power Technology, Bitagram International Expo of Electric Power Technology 2019, which will take place on November 6-8 at the Kimdaejung Convention Centre in Gwangju, Korea,” said Kepco SMEs Support Team vice-president Choi Myoung-Ho.

  • Others
10 May 2019

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  • Thailand

Electrified tuk-tuks from various local assemblers. The EVAT is calling for easier registration of such vehicles. Pattarapong Chatpattarasill

The Electric Vehicle Association of Thailand (EVAT) is calling for the Land Transport Department to revise related laws to enable new registration of three-wheelers, mainly emphasising electrified tuk-tuks.

There are two types of registration for three-wheelers, aka tuk-tuks: personal use and public transport.

Yossapong Laoonual, president of the EVAT, said the registration process for tuk-tuks is too complicated and restrictive, unlike for other vehicles.

“Tuk-tuks have been limited by location and purpose,” he said.

Tuk-tuks cannot be registered in Bangkok, but they can in other provinces. The department’s reasoning is that tuk-tuks are not safe enough to drive legally on roads.

To get around this, many tuk-tuk owners buy old number plates from the days when tuk-tuks could be registered in Bangkok. The plates have no expiry date.

Mr Yossapong said motorists and companies cannot register three-wheelers without listing their purpose of use to the department, which leads officials to decide each case subjectively.

“As a result, regulations for tuk-tuks cause many obstacles to run an assembly business for both fuelled and electrified tuk-tuks,” he said. “Our request is to revise the laws to cope with the current situation; meanwhile, tuk-tuks are an iconic and popular vehicle of Thailand to promote the country’s tourism sector.”

Mr Yossapong said the Vehicle Act of 1979 should be revised to ease registration. The EVAT plans to set up an ad hoc working group to talk with the department.

“Earlier the EVAT talked with two ministries — Transport and Tourism and Sports — to consider measures enabling tuk-tuk operation for public and private use, aiming to promote electric tuk-tuks for eco-tourism,” he said.

The Netherlands-based Tuk Tuk Factory operates an assembly plant for electric three-wheelers in Thailand, but most tuk-tuks are exported rather than sold here, Mr Yossapong said.

“Once the laws have been revised, local three-wheeler assemblers will get benefits to expand their business, especially electrified tuk-tuks,” he said.

Separately, the EVAT will ask the Finance Ministry to consider more tax discount policies for Thai motorists to buy new 100% electric vehicles.

The ministry offers an exemption on excise tax for EV manufacturers from the Board of Investment.

Mr Yossapong said the EV fleet in Thailand stands at 1,100 motorcycles, 201 cars, 85 buses and 58 three-wheelers, so the numbers are limited and full EVs remain unaffordable.

“Privileges for manufacturers are plentiful enough to attract new investment flows, but the local market needs new incentives for the consumer side,” he said.

The number of charging stations in Thailand is insufficient, he said, putting the figure at 200 locations nationwide.

  • Energy Efficiency
10 May 2019

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  • Thailand

The industrial sector in Thailand, Cambodia, Laos, Myanmar and Vietnam contributed 32.3 per cent of the region’s GDP in 2017 and provided an estimated 20 per cent of the employment, said the IFC, the private-sector arm of the World Bank.

It said that industrial zones provide a good platform for supporting interventions for green buildings, clean energy, energy efficiency and climate-smart water and waste infrastructure. The proximity of multiple co-located tenants also provides opportunities for green energy, innovative wastewater treatment and other “circular economy” projects that effectively use valuable resources.

Implementation of such sustainability projects can help zones follow an environmentally less destructive growth path and transition towards eco-efficiency consistent with national government priorities.

“We welcome this partnership, which is timely and will help us strengthen our market position as a leading developer of sustainable smart and eco cities and townships that promote green growth,” said Lena Ng, chief investment officer of Amata Corporation Plc, after the company signed the enabling agreement with the IFC. “Further, IFC will bring in a wealth of knowledge about global best practices as well as technical and industry expertise to this partnership. This will enable us to create sustainable, eco-efficient smart cities and townships in Thailand and the Mekong region.”

As part of the memorandum of understanding, which was signed yesterday, IFC and Amata will identify projects for co-investment opportunities and encourage the use of sustainable energy, water, and waste solutions for buildings and infrastructure in existing and new smart cities, industrial zones and townships. They will further raise awareness on green growth and promote sustainable design practices in selected zones in Thailand and the Mekong region.

“As a sustainability pioneer, IFC has extensive experience in developing eco-efficient zones, including in the green buildings space. We are creating markets and supporting climate-smart investments by promoting new regulations and standards, business models and financing mechanisms,” said Vikram Kumar, IFC country manager for Myanmar and Thailand.

“Collaborative partnerships such as this can help decouple economic from environmental growth while promoting a sustainable private sector,” he said. “Together with Amata, we expect to further build capacity for eco-efficient smart cities zones, green buildings, and climate-smart infrastructure by developing bankable investment projects.” The IFC supports greater private-sector investment in green buildings and sustainable development. It has a green building portfolio of more than $4.5 billion (Bt143 billion), which includes its own direct investments and mobilised financing. IFC aims to achieve green building market transformation in a growing number of countries through its Excellence in Design for Greater Efficiencies (EDGE) certification system and |the Green Urban Development (GUD) tool.

  • Others
10 May 2019

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  • Philippines

Climate change is real and unequivocal. And it is happening now. According to NASA data, the earth is warming at an alarmingly rapid rate. In fact, all the 10 warmest years in the 138-year record have occurred since 2000—with 2016 as the warmest year since 1880.

What causes climate change, though, and what are its effects?

Scientific evidence shows that the dominant cause of the rapid change in climate is human-induced increases in the amount of atmospheric greenhouse gases, particularly carbon dioxide, methane, and nitrous oxide. Although there are other contributors to the heat-trapping pollution, according to a report by UN Environment and Intergovernmental Panel on Climate Change (IPCC), the most significant sources are from electricity and heat production, manufacturing and construction industries, and fugitive emissions from solid fuels, oil, and gas.

Photo by Patrick Hendry via Unsplash

The adverse and dire effects of rapid climate change to our planet include extreme weather conditions (such as longer and hotter heat waves, more frequent droughts, heavier rainfalls, and more powerful hurricanes), shrinking ice sheets, glacial retreat, rising sea surface temperatures and sea levels, ocean acidification, and shifts in flower/plant blooming times.

As an archipelago with a tropical climate and one of the longest coastlines in the world, the Philippines is highly vulnerable to the impact of climate change. We will experience intensified and deadlier typhoons, increased flooding, especially in low-lying areas, longer dry spells, disease outbreaks, extinction of animal and plant species, influx of agricultural pests, and death of coral reefs. Also, sea levels in the country are rising faster than the global average, increasing the hazard posed by storm surges.

Climate change is a global problem that requires globally-coordinated solutions.

Between 2000 and 2010, the global rate of greenhouse emissions more than quadrupled from the previous decade, and if this continues to increase as it has been over the last 50 years, then by the end of this century, the world will be at least 4°C warmer than it was before the Industrial Revolution. And the warming will not stop there.

The Philippines is one of the most disaster-prone countries as we are geographically located along the Pacific Ring of Fire and the Typhoon Belt. What exacerbate the risks further are our relatively low level of economic development and limited resources. Thus, while we are not a big emitter, we remain among the most heavily impacted.

Photo by Dikaseva via Unsplash

During the Paris climate conference (COP21) in December 2015, a total of 195 countries reached a landmark agreement “to combat climate change and to accelerate and intensify the actions and investments needed for a sustainable low carbon future.” Aside from being a party to that monumental agreement, the Philippines is taking strides toward transitioning to a low-carbon development pathway by implementing various government policies (such as the Renewable Energy Sector Roadmap for 2017-2040 that the Department of Energy designed and initiated, the incentives provided to enterprises that generate and sustain green jobs, etc).

Everyone should do his or her share to mitigate the impact of climate change.

Although, it is hard to imagine that we, as individuals, can do something to resolve a problem of this scale and severity, we should at least try. One person’s initiative may be a mere drop in the bucket but, with around 7 billion people around the world contributing to that collective effort, we can ultimately fill any bucket.

We can start from simple acts such as planting trees, fruits and vegetables, using less plastic, conserving energy in our homes, buying consumer goods that are organic and appliances that are energy-efficient, walking or biking to a nearby destination, and investing in a car with the lowest emission. We should also consider advocating a switch to cleaner energy sources. Together, we have the power to make our voices heard and make big changes happen.

Shifting to natural gas is the clarion call of the times.
As the country is taking steps to diversify its energy mix, one source is taking center stage—natural gas.

Photo via First Gen

Clean
Compared with other traditional energy sources, natural gas is much cleaner and is, thus, more environment-friendly. It emits about 60% less carbon dioxide (which contributes to climate change), almost 100% less sulfur dioxide (which contributes to acid rain), and up to 80% less nitrogen oxide (which contributes to smog) versus coal. It has no by-products such as ash, sludge, or particulate matter (which are all harmful to our health and the environment). By choosing cleaner sources of energy, we can help reduce our environmental footprint and avoid pollutants with harmful health impacts.

Affordable
Power from natural gas plants is competitively priced—primarily due to the low costs of building and running its plants. Compared to other plants like coal, costs to construct, operate and maintain natural gas plants are much less—up to one third the cost, as reflected in the EIA data on Project and O&M Costs. In 2018, the weighted average generation cost per kWh of natural gas was at around 5 pesos, compared with that of oil at 15 and coal at 6. Another thing that makes natural gas economical is its efficiency. Natural gas plants operate at an efficiency level of 50%-60%, while coal plants only at 30%-40%. This higher level of efficiency allows natural gas plants to generate more electricity with the same amount of fuel, which helps keep costs low. All these translate to lower generation costs.

Reliable
Finally, natural gas plants are fast and reliable. A power outage can happen anytime, anywhere, and it may be due to various causes—extreme weather conditions, human error, equipment failure, supply/demand issues, etc. The good thing with natural gas plants is that they can react quickly to these failures. Its plants can start up much faster –up to 500 times—than coal-powered plants and it can perfectly complement the intermittency of renewable energy.

Indeed, natural gas can provide immense support in the country’s transition towards a Renewable Energy (RE) future. It can most effectively address the challenges posed by RE’s intermittency and its technology’s inability to immediately bridge the gap between the demand for and supply of energy.

In the Philippines, First Gen Corporation is the pioneer and leader in the natural gas industry. It is the only power-generating company of its size that does not have coal power in its portfolio. It is the supplier of 1/5 of the Philippine’s power demand, producing 3,492 megawatts of clean and low-carbon energy.

In 2018, First Gen natural gas power plants helped avoid emissions of about 8 million tons of carbon dioxide into the atmosphere, compared to if we had used coal plants. That is equivalent to removing about 1.7 million passenger vehicles, recycling 2.8 million tons of waste, or planting around 132 million trees over 10 years.

Admittedly, it will take a while before the world manages, if at all, to completely switch to Renewable Energy. In the meantime, we have to support the use of the cleanest energy mix available to us, which is RE coupled with Natural Gas. Together, let us make the good switch!

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