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Brix Lelis - The Philippine Star
January 19, 2026 | 12:00am
In its proposal, the ERC factored in costs from at least three developers, along with other technical and economic considerations, to determine the preliminary green energy auction reserve (GEAR) price.
STAR / File
MANILA, Philippines — The Energy Regulatory Commission (ERC) has set an initial ceiling price of P8.0167 per kiloWatt-hour for the upcoming waste-to-energy (WTE) auction this year.
In its proposal, the ERC factored in costs from at least three developers, along with other technical and economic considerations, to determine the preliminary green energy auction reserve (GEAR) price.
Once finalized, the GEAR price will serve as the maximum allowable bid for the government’s sixth green energy auction (GEA-6) round, which is dedicated to the country’s pioneering WTE projects.
To facilitate the auction, the ERC is inviting comments from all interested parties on the preliminary GEAR price until Jan. 30.
A WTE technology converts biodegradable materials such as animal manure or agricultural waste into usable energy.
The special auction is scheduled for January 2026, with completion slated for the fourth quarter of 2027. The pioneer WTE projects are expected to start delivering power to the grid by 2028.
Based on the preliminary terms of reference, the Department of Energy (DOE) plans to offer 170 megawatts (MW) of capacity under this auction.
In Luzon, the DOE aims to attract 120 MW of capacity from pioneer WTE projects that will utilize municipal solid waste from Metro Manila.
WTE projects totaling 50 MW, meanwhile, are targeted in the Visayas and Mindanao, drawing waste feedstock from Bacolod, Cebu, Cagayan de Oro and Davao.
Accordingly, GEA-6, which will cover both biomass and WTE projects, is scheduled for the second quarter, although further details remain under wraps.
The DOE has said incorporating WTE projects into the GEA framework is a critical step toward ensuring energy security while advancing environmental protection.
Beyond boosting power supply, the government is positioning WTE projects as a strategic solution to the country’s persistent flooding challenges.
