THE energy industry could unlock more financing as a result of Philippine membership in the Indo-Pacific Economic Framework (IPEF) after the country was singled out as a priority site for infrastructure investment by a coalition of global investors, according to the Department of Energy (DoE).
In a statement on Monday, the DoE said that the Coalition for Emerging Market Infrastructure Investment (CEMII) has picked the Philippines as its initial focus for infrastructure investment across the IPEF economies.
The Indo-Pacific Partnership for Prosperity (IP3), convenor of the coalition, called the Philippines an “ideal market” for the initiative given its “rapid growth in energy demand and ambitious renewables targets.”
IP3 is a collaboration of public, private, and non-profit organizations dedicated to mobilizing capital and expertise to advance economic growth, sustainability and inclusivity in the 14 IPEF countries.
The Philippines is targeting raising the share of renewable energy in its power generation mix to 35% by 2030 and to 50% by 2040.
The DoE said it welcomes the opportunity to collaborate with CEMII to develop a joint roadmap to accelerate investment in clean energy infrastructure.
“We look forward to working closely with the Coalition to realize our shared vision of a clean energy future for the Philippines and the broader Indo-Pacific region,” Energy Secretary Raphael P.M. Lotilla said.
Private developers will likely benefit from the initiative as they will have access to capital that is expected to be deployed quickly, the DoE said.
According to the DoE, the Philippines is estimated to require around $500 billion in investment between 2024 and 2050 to achieve a successful clean energy transition.
CEMII has announced that it will be launching country platforms dedicated to catalyzing infrastructure investment across IPEF emerging economies.
“In collaboration with the Commerce department and the government of the Philippines, the Coalition will engage in high-level meetings to identify mutual areas of interest and develop a joint roadmap to accelerate investment in clean energy infrastructure,” IP3 said in a separate statement.
CEMII was created to support IPEF economies “in achieving their economic development, human capital, and sustainability goals, through the identification, promotion and development of successful infrastructure projects throughout the region.” — Sheldeen Joy Talavera