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  • 1. ASIAN INSTITUTE OF MANAGEMENT & ECONOMIC AND COMMERCIAL OFFICE OF SPAIN Philippines Solar Energy Opportunity Research for Spanish RE Technology Compiled By Vinod Krishnan Asian Institute of Management (AIM) Manila, Philippines MBA Class of 2010 Dated September 08, 2010 No. of Pages 58
  • 2. Philippines Solar Energy Opportunity Research for Spanish RE Technology 2 Table of Contents Executive Summary.................................................................................................................................4 Significance of the Research Report ...................................................................................................4 Research Methodology.......................................................................................................................4 On-Field Data Collection .....................................................................................................................4 Strategic Frameworks Employed ........................................................................................................5 Demand Drivers ..................................................................................................................................5 Research Objectives................................................................................................................................5 Country Overview ...................................................................................................................................6 Current Status of the Philippines Energy Sector.....................................................................................7 Energy supply and demand.................................................................................................................7 Electricity Supply and Demand ...........................................................................................................8 Clean Energy Potential in the Philippines.............................................................................................11 Wind Energy......................................................................................................................................11 Solar PV.............................................................................................................................................12 Solar Energy Potential.......................................................................................................................14 Government Support for Renewable Energy........................................................................................17 Renewable Energy Power Program (REPP).......................................................................................18 Renewable Energy Act 2008 .............................................................................................................18 PEST Analysis for Philippines.................................................................................................................21 Political..............................................................................................................................................21 Economical........................................................................................................................................21 Social.................................................................................................................................................23 Technology........................................................................................................................................23 Feed – In – Tariff ...............................................................................................................................24 *Tariff Conditions..........................................................................................................................24 Major Target Industries for Solar Power ..............................................................................................25 BPO Industry and Solar Power..........................................................................................................25 Construction Industry and Solar Power............................................................................................29 BTS and Solar Power .........................................................................................................................41 Competitor Analysis..............................................................................................................................44 International .....................................................................................................................................44 Domestic ...........................................................................................................................................48 Financing Options .................................................................................................................................51
  • 3. Philippines Solar Energy Opportunity Research for Spanish RE Technology 3 Conclusion.............................................................................................................................................57 End Notes & References .......................................................................................................................58
  • 4. Philippines Solar Energy Opportunity Research for Spanish RE Technology 4 Executive Summary Significance of the Research Report The Research report is to understand the renewable energy potential of the Philippines especially for Solar Energy and the possible opportunities available for foreign players such as Spanish organizations to setup solar energy power plants in the Philippines. Research Methodology The data necessary for analysis was gathered by carefully designed personal interviews, adhering to the highest standards, of significant stakeholders of the renewable energy business such as energy consultants and DoE. On-Field Data Collection Data collection was restricted to execution of personal interviews and opinions of industry experts. Some key experts interviewed were, 1. Lea E Ricolcol, Executive Director, Merritt Partners 2. Gladys Blesila, Senior Energy Specialist, Merritt Partners 3. Emmanuel V. Rubio, CEO, SN Aboitiz Power Group 4. Jose D. Leviste III, EVP, Constellation Energy 5. Fortunato S. Sibayan, Officer-in-Charge, Solar & Wind Energy Management Division, DoE.
  • 5. Philippines Solar Energy Opportunity Research for Spanish RE Technology 5 Strategic Frameworks Employed In a report of highest standards it is imperative to use significant frameworks which can explain the industry and help channelize the process to advice realistic recommendations. In- line with this the following Frameworks have been employed,  PEST analysis  Porters Five Forces Demand Drivers  The growth of Philippines economy and energy requirement in various sectors.  The Philippines‟ primary energy demand is projected to more than double from 44Mtoe in 2002 to 111Mtoe in 2030, growing annually at 3.4 percent; buoyed mainly by high growth in the demand for petroleum products in the transport sector.  Between US$68-87 billion in new investment will be required to finance the economy‟s projected expansion of energy infrastructure; 69 percent or US$61 billion of which will be allocated to the electricity sector. Research Objectives The objectives of this research project are: 1. TO indentify and scan the Solar Energy Potential in the Philippines 2. TO identify the possible foreign competitors who would want to invest in Solar 3. TO provide the financial avenues and procedures of 2 banks (1 Govt. aided and other private bank) for Solar Energy Investments 4. TO provide an analysis and recommendation that would help the Economic and General Office of Spain to Guide any Spanish Energy Organization.
  • 6. Philippines Solar Energy Opportunity Research for Spanish RE Technology 6 Country Overview In 1935 the Philippines became a self-governing commonwealth and gained independence in 1946 after colonial rule that began in the 16th century. It has a population on nearly 90 million people which is growing at 1.9% and has an average age of 22 years. Geographically the Philippines is an archipelago between the Philippines Sea and the South China Sea. It is mountainous with narrow but extensive coastal lowlands. The climate is a tropical marine climate with north-east monsoons from November to April and south-west monsoons from May to October. Following the Asian recession, GDP growth in the Philippines accelerated to 4.9% in 2005, 5.3% in 2006 and about 7% in 2007. Due to the sub-prime crisis recession in the US the Philippines has also been affected, it can be seen that in 2008 the GDP growth has only been 3.8%, in 2009 it is 0.93% but the First Quarter of 2010 has shown some significant growth of 7.3%.1 In the Philippines, fiscal constraints limit the government‟s ability to finance infrastructure and social spending as the consistently large budget deficit has produced a high debt level, which forces a large portion of the national government budget to be spent on debt service. Large but unprofitable state owned enterprises, especially in the energy sector, contribute to the government's debt because of slow progress on privatization. The composition of the economy is dominated by services (50%), industry (32%) and agriculture (18%)2 . However, approximately 40% of the population is considered to be below the poverty line. Industries include electronics assembly, garments, footwear, 1 http://www.nscb.gov.ph/ 2 Ibid
  • 7. Philippines Solar Energy Opportunity Research for Spanish RE Technology 7 pharmaceuticals, chemicals, wood products, food processing, and petroleum refining and fishing. Table 1.0 shows the summary statistics of Philippines, Total Population (millions) 93.3 Electricity Production (billion kWh) 61.9 GDP per capita (PPP US$): 5,473 Electricity Consumption (billion kWh) 46.9 GDP growth(annual %): 7.3 % Urban 63 Human Development Index (Rank 1 - 177): 84 % Rural 52 Life expectancy at birth (years): 70.3 Population w. Electricity 81% Population below PPP $1 per day (%): 14.8 Rural Electricity Consumption (Per Capita) N/A Net enrolment ratio in primary education (% both sexes): 92 Urban Electricity Consumption (Per Capita) N/A Carbon dioxide emissions per capita (metric tons): 0.971 Unemployment, total (% of total labor force): 7.6 Table 1.0: Summary statistics of Philippines3 Current Status of the Philippines Energy Sector Energy supply and demand Total energy available in the Philippines is close to 40 Million Tons of Oil Equivalent (Mtoe) of this 18 Mtoe is being Imported and 22 Mtoe is being produced4 . While most of the other developing nations import more than they produce, the Philippines sets an example of producing more than importing. The country imports 41.1% of its energy and produces 58.9% of energy5 . 3 Prepared from World Bank Data book for 2009 (Development Indicators 2009 Publication) 4 Average of 2000-2009 from World Bank Data 5 Ibid
  • 8. Philippines Solar Energy Opportunity Research for Spanish RE Technology 8 In the Philippines 57% of the energy used comes from burning Fossil Fuels while 43% comes from Renewable and Clean Energy sources. In this 43%, 24% comes from Combustible renewable energy sources and 19% comes from Clean Renewable energy such as Solar and Wind6 . Table 1.1 below shows the split of this energy sources. Energy Source % of use Fossil fuel energy consumption (% of total) 57% Alternative and nuclear energy (% of total energy use) 24% Combustible renewable and waste (% of total energy) 19% Table 1.1 Shows the Energy Source and percentage use in the Philippines7 . Electricity Supply and Demand As per the DoE statistics for 2009 the Power consumption by various segments such as Residential, Commercial, Industrial etc is around 60 Billion kWh8 as shown in Table 1.2. The Electricity generation from various sources satisfying this demand is given in Table 1.3. Note: 1 Gwh is equal to 1 million Kwh. 6 World Bank Data http://databank.worldbank.org/ddp/home.do?Step=2&id=4&DisplayAggregation=N&SdmxSupported=N&CNO =1159 7 Ibid 8 http://www.doe.gov.ph/EP/Powerstat.htm
  • 9. Philippines Solar Energy Opportunity Research for Spanish RE Technology 9 Power Consumption by Sector (Gwh) 2006 2007 2008 2009 Residential 15,830 16,376 16,644 17,504 Commercial 12,679 13,470 14,136 14,756 Industrial 15,888 16,522 17,031 17,084 Others 1,275 1,641 1,395 1,523 Electricity Sales 45,672 48,009 49,206 50,868 Utilities Own Use 4,227 3,994 3,935 3,524 Power Losses 6,885 7,608 7,680 7,542 Total 56,784 59,612 60,821 61,934 Table 1.2 Shows the Electricity Consumption in the Philippines9 . Power Generation by Sources (Gwh) 2006 Percent 2007 Percent 2008 Percent 2009 Percent Oil-Based 4,665 8.22% 5,148 8.64% 4,868 8.00% 5,381 8.69% Oil-Thermal 274 0.48% 324 0.54% 658 1.08% 909 1.47% Diesel 4,152 7.31% 4,162 6.98% 3,660 6.02% 3,771 6.09% Gas Turbines/CC 239 0.42% 662 1.11% 550 0.90% 700 1.13% Hydro 9,939 17.50% 8,563 14.36% 9,843 16.18% 9,788 15.80% Geothermal 10,465 18.43% 10,215 17.14% 10,723 17.63% 10,324 16.67% Coal 15,294 26.93% 16,837 28.24% 15,749 25.89% 16,476 26.60% Other Renewables 55 0.10% 59 0.10% 63 0.10% 79 0.13% Natural Gas 16,366 28.82% 18,789 31.52% 19,576 32.19% 19,887 32.11% Total 56,784 100.00% 59,612 100.00% 60,821 100.00% 61,934 100.00% Table 1.3 Shows the Electricity source and percentage use in the Philippines10 . 9 Ibid
  • 10. Philippines Solar Energy Opportunity Research for Spanish RE Technology 10 Sector Usage in GWh/year Industry 13,627 Transport 1,054 Agriculture 1,993 Commerce and Public Services 6,290 Residential 13,715 Table 1.4 shows the distribution of Electricity use in various industries11 . From the tables above Table 1.0, Table 1.3, and Table 1.4 it can be inferred that in the Philippines there is still 19% of the population which lives without electricity. Also there is a recurring requirement of power and electricity needed in various industries and the country majorly is dependent on Coal for its electricity supply. Exhibit 1: Shows the Electricity sources in developing nations12 . 10 Ibid 11 World Bank Data http://databank.worldbank.org/ddp/home.do?Step=2&id=4&DisplayAggregation=N&SdmxSupported=N&CNO =1159 12 From World Bank Development Indicators 2009 Publication Coal 47% Gas 19% Oil 6% Hydropower 21% Nuclear Power 5% Other 2% Sources of Electrcity in Developing Nations
  • 11. Philippines Solar Energy Opportunity Research for Spanish RE Technology 11 From Table 1.1 and Table 1.3 it can be seen that Philippines doesn‟t seem to be using Renewable and Clean Energy potential for its electricity production. Clean Energy Potential in the Philippines Wind Energy Despite minimal use of wind energy in the Philippines, potential is strong. A wind mapping survey estimated that the Philippines could potentially generate 70,000 MW, equivalent to seven times current electricity demand (EIA, 2004). The survey identified 47 provinces with the potential to generate at least 1000 MW. The wind resource is greatest in the north and northeast of the country, in the regions of the Batanes and Babuyan Islands north of Luzon; and the interior of Luzon, Mindoro, Samar, Leyte, Panay, Negros, Cebu, Palawan where land is higher. Areas that face east towards the coast from Luzon to Samar also represent good-to- excellent wind resources for utility-scale and excellent wind resources for village-scale applications. Less potential exists in the south and south-west of the archipelago. Existing use of wind generation includes a 10 kW stand-alone system that provides electricity to 25 households. Batangas Province has a 25 kW stand-alone system with six different loads. A 3 kW wind-diesel system is also in use for a telecommunications relay station (DOE, 2000). A 25 MW Wind Farm was inaugurated June 18, 2005 at Bangui Bay , Ilocos Norte. It is the first wind farm to be fully operational in the Philippines and the biggest in Southeast Asia . The project was developed by the NorthWind Development Corporation consisting of 15 units of wind turbines arranged in a single row on the shores of Bangui Bay . These turbines are connected to the Luzon grid and delivers power to the Ilocos Norte Electric Cooperative via TransCo Laoag. The NorthWind Project is also the first project in the Philippines to have an Emissions Reduction Purchase Agreement (ERPA) under the Clean
  • 12. Philippines Solar Energy Opportunity Research for Spanish RE Technology 12 Development Mechanism. The ERPA was signed by NorthWind and the International Bank for Reconstruction and Development through the World Bank Prototype Carbon Fund. Solar PV In 2000 the Philippines had an installed PV capacity of 567 kW. Currently there is a 1MW CEPALCO solar power plant which is located in Cagayan de Oro in Mindanao. The applications are various including telecommunications, battery charging stations, vaccine refrigerators, egg incubators, street lighting and PV-powered cinemas. Solar home systems have been installed through private companies, local and rural electric co-operatives. Whilst the technical potential is present, prohibitive costs and grid extension of conventional electricity hinders the commercial potential of solar home systems, which the DOE places at 500,000. The Philippines has one of the longest histories with PV systems in Asia (outside Indonesia). The majority of its programs have been aid-driven, with mixed results. Many of the programs have added additional barriers to the implementation of renewable energy systems in the Philippines, such as the expectation that systems will be „free‟ or that, if financed, no-one will turn up after a few months to collect the payments. In 2004, CEPALCO inaugurated the largest solar power plant among developing nations. The plant produces 1MW of on-grid solar power. The project uses 5 Hectares of land. The project is a landmark achievement in the Philippines and shows the growth potential of Solar energy investments in the Philippines. The farm energizes the West central and Northern Mindanao regions in the mountains. The current Solar power system can energize upto 2 lighting and 1 B/W TV. If technology can be improved and made better efficient then there is lot of scope of establishment of power in these areas.
  • 13. Philippines Solar Energy Opportunity Research for Spanish RE Technology 13 Exhibit 2: The 1MW Solar power plant of CEPALCO in Cagayan de Oro City, Philippines13 The list of registered RE Developers and the projects for which contracts have been granted by DoE is present in Appendix – I this data was obtained by interviewing Mr Fort Sibayan, Officer-in-Charge, Solar & Wind Energy Management Division of DoE 13 http://www.cepalco.com.ph/solar.php
  • 14. Philippines Solar Energy Opportunity Research for Spanish RE Technology 14 Solar Energy Potential The Exhibit 3 shows the distribution of Solar Energy radiation in East Asia. The Philippines comes in the range of 4-5 which is high compared to the global average if 2.5. Exhibit 4 shows the sites in the Philippines where the radiation can be extracted for generation of energy. Exhibit 3: Showing Solar radiation distribution in East Asia14 14 http://www.solar4power.com/solar-power-global-maps.html
  • 15. Philippines Solar Energy Opportunity Research for Spanish RE Technology 15 Country Solar Radiation Score Installed Capacity Germany 1.5 8,877 MW15 Spain 3.5 3,200 MW16 Japan 3 2,100 MW17 Australia 5.5 100 MW18 U.S 3.0- 7.0 8,775 MW19 Philippines 3.5 1MW Table 1.5 Comparison of Installed Solar Capacity of Countries and their Solar radiation score Exhibit 3 and Table 1.5 strongly suggest that there is excellent potential for Solar power generation in the Philippines. 15 http://en.wikipedia.org/wiki/Solar_power_in_Germany 16 http://en.wikipedia.org/wiki/Solar_power_in_Spain 17 http://en.wikipedia.org/wiki/Solar_power_in_Japan 18 http://en.wikipedia.org/wiki/Solar_power_in_Australia 19 http://en.wikipedia.org/wiki/Solar_power_in_the_United_States#Availability
  • 16. Philippines Solar Energy Opportunity Research for Spanish RE Technology 16 Exhibit 4: Potential Solar Energy Sites in Philippines
  • 17. Philippines Solar Energy Opportunity Research for Spanish RE Technology 17 Government Support for Renewable Energy The Philippines government has been supportive of Renewable Energy production from early 1990s. The first such support can in the form of Renewable Energy Power Program described below. The Philippines expects to generate an initial investment of $277 million and 466 megawatts (MW) of power from 26 renewable energy projects it finalized on Friday, reported local newspaper Business Mirror. 20 The newspaper quoted Angelo Reyes, energy secretary, as saying that the department aims to promote the development, use and commercialization of renewable energy resources and double up renewable energy capacity by 2020. The Southeast Asian country targets power generation from renewable resources to increase from 4,500 MW to 9,000 MW in 10 years. The new contracts include an estimated 6.8 MW from six hydropower contracts, 315 MW from six geothermal, 40 MW from five wind projects and 5 MW from one ocean project. Two biomass projects with an unspecified power capacity were also approved on the same day. The Energy Department has signed around 180 contracts since the Renewable-Energy Act of 2008 was enacted, including 112 service contracts worth about 66.8 billion Philippines pesos ($1.5 billion) with a combined capacity of 2,264.1 MW agreed earlier this February. The law offers fiscal and non-fiscal incentives, such as tax holiday, to attract clean energy investors. The Energy Department awarded the contracts to Bell Pirie Power Corporation, Clean Rock Renewable Energy Resources Corporation, Energy Development Corporation, Green Power Panay Philippines Inc., Natural Power Sources Integration Inc., Pan Pacific Power 20 Business Mirror Dated February 19 2010
  • 18. Philippines Solar Energy Opportunity Research for Spanish RE Technology 18 Corporation, PNOC-Renewables Corporation, Phil-Korean Energy Corporation, SKI Construction Group Inc. and SKI Mini-Hydro Corporation. Certificates for biomass projects will be awarded to Basecom Inc., Capiz Sugar Central Inc., Cotabato Sugar Central Company Inc., Davao Sugar Central Company Inc., Hawaiian Philippines and Sweet Crystals Integrated Sugar Mill Corporation. Renewable Energy Power Program (REPP) As a development from the small hydro legislation the government created the Renewable Energy Power Program (REPP) in 1993. REPP was designed to provide up to P750 million in financing for IPP projects using solar, wind, biomass and small hydro resources. Its target is 300 MW of capacity from renewable sources, with up to 50 MW installed annually over six years. Under the terms of the REPP program, small (<10 MW) power plants can apply to sell electricity to the NPC at a rate negotiated in a power purchase agreement (PPA). The DOE then guarantees the purchase of power generated by REPP projects. However, NPC has suspended the REPP program due in part to the NPC‟s reluctance to acquire additional take- or-pay liabilities given the pending power sector restructuring and under demand for new capacity. This program design flaw has obviously deterred serious private sector investment in renewable energy projects, and only two min-hydro projects have reached the point of accreditation and construction under the scheme. Renewable Energy Act 2008 On December 16th 2008 President Gloria Macapagal Arroyo signed into law the much anticipated Renewable Energy (RE) Bill. Dubbed as the Renewable Energy Act of 2008 it gives incentives to investors and energy producers to build renewable energy power plants instead of fossil fuel based ones. And with Philippine power demand targeted to overrun the
  • 19. Philippines Solar Energy Opportunity Research for Spanish RE Technology 19 country‟s power supply by 2010, it would be ideal to meet that demand with renewable energy. Key Highlights of the Act21 are as following, 1. 7-year income tax holiday 2. 10-year exemption from tariff duties 3. 1 percent of gross income on RE development projects 4. Net operating loss carry over 5. Duty free importation 6. Accelerated depreciation 7. 0% value-added tax rate 8. Cash incentive for missionary electrification 9. Tax credit on domestic capital equipment. 10. Carbon credits generated from renewable energy sources will be free from taxes. A 10% corporate income tax, as against the regular 30%, is also provided once the income tax holiday expires. 11. Energy self-sufficiency to 60% by 2010 from 56.6% in 2005, by tapping resources like solar, wind, hydropower, ocean and biomass energy 12. Renewable energy facilities will also be given a 1.5% realty tax cap on original cost of equipment and facilities to produce renewable energy. 21 http://www.alternat1ve.com/biofuel/2008/12/16/philippine-renewable-energy-bill-to-be-signed-into-law/
  • 20. Philippines Solar Energy Opportunity Research for Spanish RE Technology 20 13. The bill also prioritizes the purchase, grid connection and transmission of electricity generated by companies from renewable energy sources. 14. Power generated from renewable energy sources will be value added tax-exempt. 15. A net metering scheme will give capable consumers the option to generate their own power. Net metering will allow renewable energy producers to earn from the power they contribute to the grid, and are also charged for electricity drawn from the grid. 16. Employment of Foreign Nationals 17. Simplification of Customs procedure 18. Importation of consigned equipment 19. Operate a bonded manufacturing/trading warehouse with ease An interview with DoE personnel Mr Fortunato S. Sibayan, Officer-in-Charge, Solar & Wind Energy Management Division of DoE, revealed that, the RE law will lower electricity costs, is taking into consideration the tariff cuts spelled out in the implementing rules and regulations (IRRs) of the RE law. For instance, if a wind energy project is selling P7 per kilowatt hour and after applying the tariff incentives in the RE Act, it went down to P4 to P4.50 per kWh, then it will be translated to lower rates for consumers. It depends on the ERC‟s discretion. All rate-related issues are addressed by the ERC, he said.
  • 21. Philippines Solar Energy Opportunity Research for Spanish RE Technology 21 PEST Analysis for Philippines Political  High level of Bureaucracy: Philippines is the second most corrupt country in Asia and the twelfth most in the world. This is especially true in the public sector, legal system and policy making. This leads to a high cost of negotiations with govt officials as policy making and reforms is a prolonged process.  Renewable Energy Act 2008: In May 2010 Gloria Arroyo came to power and took radical decisions in the interest of the country. One such decision was to pass the Renewable Energy Act 2008. This had been pending ever since in the parliament due various discrepancies within the govt in power during the time. This Act seeks to liberalise the energy sector in order to promote investments both foreign and domestic. This would now encourage various investors to look at Philippines as an opportunity to diversify.  Stand on Renewable Energy: the new government seeks to harmonise their policies to ensure swift development of renewable energy technologies. In 2007 Philippines was 57% self-sufficient in energy production and aims increase this capacity by 20 points by 2012 with use of renewable energy. Economical  GDP Growth: Due to the global recession along with other Asian economies even Philippines minimal GDP growth of below 1% in 2009. However there was a drastic increase and the first quarter of 2010 showed a growth of 7.3 %. This was because they were better protected than other countries as they were not dealing with high risk securities offered of US financial institutions. This was cushioned by the remittances from overseas Pilipino workers mostly in Middle East and US.  Inflation rate: According to a report by International Monetary Fund Philippines is the 6th largest Economy in South East Asia in terms of purchasing power parity. The per capita GDP is about 3,500 USD adjusted for PPP22 . Table 2.0 shows the countries in SE Asia and their Per capita GDP adjusted for PPP. The Philippines have projected a steady growth over the years and have kept their inflation under control. 22 http://en.wikipedia.org/wiki/List_of_countries_by_GDP_(PPP)_per_capita
  • 22. Philippines Solar Energy Opportunity Research for Spanish RE Technology 22 Lower than expected inflation rate of 3.2% in 2009 has kept a check on the consumer goods prices.  Tax Subsidy on Renewable Energy: The RE ACT 2008 has introduced number of tax subsidies as explained in section above.  Income Distribution: The Philippines has a very high disparity of income, with a high percentage of overseas Filipino workers about 2 million according to 2009 estimates23 . The remittances from these workers are very high and contribute towards the economic growth of the country. The remittances are close to 3 Billion USD (@ exchange rate of 45 Peso per USD)24 .  Unemployment Rate: with a total population of 92 million the unemployment rate is close to 7.2 % as of 2009. There has been a steady decline in this figure since 2005. The growth of the outsourcing industry has been a major contributor in curbing the unemployment rate in Philippines. According to a study by Oracle Corp Philippines is currently the second largest call center market next to India.  Budget Deficits: The Philippines has had repeated budget deficits which have led to a sharp rise in public debt. The government reserves up to 20% of its budget for interest payments on outstanding loans. This has reduced the government funding capacity in sectors that need public funding. The income tax rates are very high in order to offset this budget deficit. 23 http://www.census.gov.ph/data/sectordata/2009/sof0901.htm 24 http://www.census.gov.ph/data/sectordata/2009/sof0906.htm
  • 23. Philippines Solar Energy Opportunity Research for Spanish RE Technology 23 Countries Per capita GDP (Adjusted for PPP) Singapore 50,000 Brunei 49,000 Malaysia 14,000 Thailand 8,000 Indonesia 4,000 Philippines 3,500 Vietnam 2,900 Laos 2,300 Cambodia 2,000 Table 2.0: Shows the Per capita Comparison of SE Asian Countries (Approximated from 3 databases (IMF, WorldBank and CIA handbook) Social  Adaptability: The Philippines is one of the fastest growing economies in South East Asia. They have tried to adopt the best industry practices and standards across all industrial sectors.  Consumer Behavior: Influenced by the western culture Philippines is a consumer driven economy. Retail sector has seen a constant growth for fast few years because of this economic behavior. Technology Following alternate energy technologies are being used in Philippines:  Wind  Bio-gas  Bio-diesel  Fuel Cells  Solar  Geothermal
  • 24. Philippines Solar Energy Opportunity Research for Spanish RE Technology 24 Feed – In – Tariff After the RE ACT 200, The Philippines‟ Energy Regulatory Commission has unveiled the F- i-T regulations to boost the Renewable Energy investments in the country. A National Grid Corporation of the Philippines (N.G.C.P.) is planned to be set-up to operate, the Philippine transmission network via the National Transmission Corporation, and other distribution utilities to incorporate renewable energy into their power networks. Some of the key highlights of the F-i-T rules are as following, 1. The Tariff will be valid for 20 years from the commencement of operations. 2. The renewable energy projects need to get a compliance certificate in order to avail the tariffs. 3. Tariff ranges from PHP 7($0.15) to PHP 25 per kWh. Solar will carry the highest tariff, while wind will have an average tariff of 12 Philippine pesos to 15 Philippine pesos per kWh* *Tariff Conditions 1. Tariff is subjected to change based on forecasted revenues. 2. The tariff will also be made sensitive to change in case if inflationary pressures in the economy. 3. Tariff system will be established after the NREB establishes targets and deadlines for each Renewable Energy development technology such as Wind, Solar, and Geothermal etc.
  • 25. Philippines Solar Energy Opportunity Research for Spanish RE Technology 25 Major Target Industries for Solar Power This section is aimed at providing information regarding the industries where Solar Power can be utilized. These industries require Power and would benefit maximum by the use of Solar Energy. The marketing strategy of Spanish Organizations would be to target these industries. BPO Industry and Solar Power The ICT industry is one of the fastest-growing industries in the world with the revenues expected to top $180 Billion in 201025 . Shared Services and Outsourcing network together with other international research groups continue to forecast that ICT-enabled services will become $200billion worldwide by 2010 with the BPO segment contributing $42billion. In other reports, Everest Consulting projected the worldwide ICT-enabled services industry to be $220 billion come 2012. While as for the next 10 years the total outsourcing industry is expected to reach $1.5trillion, said Dr Ganesh Natarajan, chairman of the National Association of Software and Business Companies (NASSCOM). At present, the Philippines share in the global off shoring and outsourcing (O&O) market increased from 5% in 2006 upto 12% in 2012, said BPAP (Business Process Association of Philippines). They forecasted that the country‟s BPO industry revenues could reach at a range of $10-$13 billion in 2010 and $21 billion by 2012, said BPAP. This industry revenue represents about 10% of the worldwide BPO market. This shows there is scope more growth in this sector. 25 http://www.ssonetwork.com/
  • 26. Philippines Solar Energy Opportunity Research for Spanish RE Technology 26 Exhibit 5: Philippines BPO Growth and forecast26 The increase in the Philippines worldwide share is not only brought about by “the excess global demand for O&O resources” but also due to the “attractiveness of the resources” available in the country. Having to be labeled as the “silent knight”, they said that the Philippines remains unsaturated and is even positioned to grow at a fast phase by 2012. According to the a 2009 Indian study, the Philippines outsourcing industry is expected to reach US$100 billion with high value services sectors fueling the robust growth. Currently, the Philippines still plays an important role in the global arena of the O&O industry. “The country‟s BPO is still very much in the early stages of growth… we are still poised to deliver,” said BPAP CEO Oscar Sanez. Despite the threats from the United States, the European Union, and other industrialized countries, the outlook in the Philippines for the coming years remains positive. Citing an ASIA Pulse analyst, the threat to the Philippines refers to the initiatives of the industrialized countries to “preserve the jobs still available in their countries and craft legislation dissuading 26 BPAP Presentation, April 2010 $0 $5,000 $10,000 $15,000 $20,000 $25,000 2004 2005 2006 2007 2008 2009 2010F 2011F 2012F Revenue Growth Revenue Growth
  • 27. Philippines Solar Energy Opportunity Research for Spanish RE Technology 27 their companies from outsourcing jobs to other countries”27 . Notwithstanding the undisputed lead of India in this industry and the entry of China and Brazil to the market, the Philippines stand in the global arena remains strong. According to Solutions People Innovation (SPi), this strength is drawn from the low-cost and highly skilled English-speaking talents in the Philippines. Moreover, another factor the companies consider is the strong affinity of the Filipinos to the US culture system and the strong customer service orientation of its workers. With that competitive advantage, foreign companies are now pouring investments and expanding in the Philippines especially in the countryside. In the survey conducted by O2P- BPA/P, results indicated that companies in the BPO industry are positioning to increase workforce, introduce new services, and accelerate expansion. The primary objective of the survey was to assess the state of the BPO industry in the Philippines. With an 83% respondent rate from BPO executives, they highlighted that the industry was not much affected by the global recession. Despite the global economic crisis, survey shows that 49% of the firms will expand headcount by at least 11% and upto 200%. As for the remaining 51% mixed feedbacks said that they will also expand headcount, retain current headcount, or decrease the size of their workforce. According to other reports28 , the Table 1.6 shows BPO companies are to expand headcount within the year and probably extend its expansion process until 2010: Hinduja Global Solutions 2000 + 900 Wipro BPO +900 WNS global 500 + 1000 UST Global + 1000 Convergys +1000 27 http://www.ssonetwork.com/ 28 BPAP presentation on Human Capital Increase, May 2008
  • 28. Philippines Solar Energy Opportunity Research for Spanish RE Technology 28 JPMC & Co 2400 + 6000 Tech Mahindra 500 Aegis Support +5000-6000 SITEL Philippines 5500 + 650 Table 1.6 Expanding BPO Companies in the Philippines It is a fact that worldwide demand for O&O services continue to grow at a significant rate. Sources even noted that the demand for such services exceed worldwide supply. With the situation at hand, BPO companies from all over the world are now expanding their employee base as a response to this increase in demand. Conversely, this is understood that expanding their employee base would need more office buildings for them to carry out their services. However, cost of service and expenses is the top most concern of these companies that is why they invest in countries like India and the Philippines. At present, India is considered the number one BPO destination worldwide with the Philippines ranking only at second. Even so, growth in the Philippines continues to increase with sizeable amounts. In the report, several BPO companies were noted to expand with a considerable number of employees. In fact, local BPO companies or Philippine-based BPO companies are now emerging. These expansions are not concentrated in the Metro Manila area but also in major cities and provinces nationwide. As noted earlier, BPAP projected that the industry would employ 1,000,000 by 2010 compared the 400,000 BPO-related employees in 2008.
  • 29. Philippines Solar Energy Opportunity Research for Spanish RE Technology 29 Exhibit 6: Philippines BPO Employee Growth and forecast29 A proof of the BPO venturing into Solar Power for their electrification is the Megaworld project for installing Solar panels in One Campus Place (a construction housing BPOs in McKinley Hill). Megaworld has installed a 30-kW solar generating system one of the biggest in the Philippines. Another example is the Megaworld Green Building. With the installation of dozens of solar panels at the rooftop of the 8 Park Avenue BPO development in McKinley Hill, Fort Bonifacio, Megaworld is the first property firm to utilize the power of the sun to electrify a BPO building – solar power.30 Construction Industry and Solar Power According to the Philippine Constructors Association (PCA), Construction activities continue to grow despite the effects of the global recession because of the government‟s initiative to boost the development of infrastructure. Along with the growth businesses such as tourism and BPOs, construction activities are buoyed by the demand for the buildings and other 29 BPAP Presentation, April 2010 30 http://www.megaworldcorp.com/real-estate/office.php 0 500,000 1,000,000 1,500,000 2,000,000 2,500,000 2004 2005 2006 2007 2008 2009 2010 2011 2012 Employee Growth Employee Growth
  • 30. Philippines Solar Energy Opportunity Research for Spanish RE Technology 30 related infrastructures. This is in addition to the government‟s initiative to build more road and infrastructure projects for the public. These government projects were funded from the P330 billion-stimulus package with its focus on the middle-income housing construction. According to the “Economic Indicators: January 15 2010” prices of several construction materials in the Metro Manila have risen. This suggests that the construction industry is maturing and is demanding for more materials. Interestingly, prior to this rise the prices of construction materials were at a decline for 9 months till November 2009. The increase in demand for construction materials shows subsequent construction activities going on in the country. The data has been taken from National Statistics Office of the Philippines particularly from the Construction Material Retail Price Index (CMRPI). The data shows a positive outlook for the construction sector and along with it the property sector is also expected to grow. In a recent report provided by the NSO, the number of approved building permit applications as of Q3 is 2009 increased by 18.3% compared to the same period in 2008. All 3 segments in the construction industry – residential, non-residential and additions, alterations and repairs grew by 22%, 9.2% and 6.1% respectively31 . 31 http://www.census.gov.ph/data/sectordata/
  • 31. Philippines Solar Energy Opportunity Research for Spanish RE Technology 31 Exhibit 7: Number of Approved Building permits between 2008 and 200932 Exhibit 8: Number of Approved Building permits in 2008 - 2009 segmented by type33 On the regional level, the top 3 highest number of approved building permits were CALABARZON, region 3, and NCR. In the CALABARZON, there were 6,177 approved applications which translate to 22.9% of the total applications. Region 3 which includes the provinces of Aurora, Bataan, Bulacan, Bueva Ecija, Tarlac and Zambales was able to generate 4,859 approved applications or 18% of the total. At third is the NCR which represents 12% of the total approved applicants or 3,238 applications. The NSO also cited seven provinces that registered approved building permits exceeding the one thousand mark. These provinces were Bulacan (1,069), Pampanga (2,884), Batangas (1,107), Cavite (2,245), Laguna (1,622), Cebu (1,874) and Davao del Sur (1,336). In terms of the total value of construction, the NSO estimated it at PHP 34.58 billion as of the 3rd quarter of 2009, growing by 12% from P30.87 billion during the same quarter in 2008. Using the 3 segments in the construction sector, the breakdown in terms of the value of 32 http://www.census.gov.ph/data/sectordata/bp09q4tx.html 33 Ibid
  • 32. Philippines Solar Energy Opportunity Research for Spanish RE Technology 32 construction per segment is as follows: Residential – P17.61 billion; Non-residential – P14.32 billion; Additions, alterations and repairs – P2.64 billion. In terms of the total floor are constructed per segment residential building totaled 2.2 million square meters and 1.6 million square meters for the non-residential buildings. For the residential building segment, 1.5 million square meters of Single Residential Units and 441.5 thousand square meters for the Apartment buildings were constructed. As for the Non- residential segment, the Commercial type units covered a total floor area of 1.1 million square meters. The Institutional building of the non-residential segment constructed 272.3 thousand square meters in total floor area. Agricultural type of non-residential building covered a total floor area of about 73.7 thousand square meters34 . The construction sector is also considered as one of the industries that will thrive along with the six projected main drivers in the country. One indicator of growth in this industry is the price of construction materials. Another indicator is evident in the number of approved building permits which includes those buildings proposed to be constructed. For the construction industry, the number of approved building permits stands as an indicator of the potential demand electricity in these buildings. Construction is strongly related to Utilities industries such as Power and Electricity. This is due to the fact that all types of infrastructure, especially the residential and commercial segment, need electricity. According to NSO, approved building permit applications during the fourth quarter of 2009 in the country rose to 30,499. This number represents a 19.4 percent growth compared to 25,546 applications received during the same period of 2008. 34 Ibid
  • 33. Philippines Solar Energy Opportunity Research for Spanish RE Technology 33 Again according to NSO, the total value of residential building construction was estimated at PHP23.47 billion with a total floor area of 2.7 million square meters, translating to an average cost of PHP8778 per square meter. This figure represents an increase of 8.7 percent compared with PHP8076 per square meter recorded during the same period of 2008. Single type residential units recorded the most number of residential building constructions during the fourth quarter of 2009 having 17,719 applications. This type comprised 72.6 percent of the total approved building permits for residential construction. The total value of construction for this type reached PHP11.66 billion covering a total floor area of 1.6 million square meters, resulting to an average cost of PHP7336 per square meter. Apartment/Accessories ranked second with 6,090 approved building permits representing 24.9 percent of the total residential construction. This type of residential building construction had an estimated construction value of PHP3.31 billion with a total floor area of 497.0 thousand square meters, representing an average cost of PHP6668 per square meter. Exhibit 8 displays the number and value of residential building construction by type for the fourth quarter of 2009. Value of non-residential building construction during the fourth quarter of 2009 was PHP13.39 billion pesos with a total floor area of 1.3 million square meters. This translates to an average cost of PHP9,973 per square meter. Commercial type topped the list with 1,624 applications or 60.0 percent of the total approved building permits for non-residential building construction. Value of construction for this type was estimated at PHP7.56 billion covering a total floor area of 800.6 thousand square meters or an average cost of PHP9,445 per square meter. Institutional building construction, which ranked a far second, had 417 approved building permits, construction value of PHP3.30 billion and a total floor area of 265.8 thousand square meters or an average cost of PHP12418 per square meter.
  • 34. Philippines Solar Energy Opportunity Research for Spanish RE Technology 34 The least number of non-residential building constructions was reported for agricultural type with 83 or 3.1 percent of the total. Construction value was estimated at PHP0.12 billion covering a total floor area of 57.3 thousand square meters, translating to an average cost of PHP2104 per square meter. Figure 5 shows the number and value of non-residential construction by type for the fourth quarter of 2009. Exhibit 8: Value of Residential Construction by type in 2009 Q435 Exhibit 9: Value and number of Non-Residential Construction by type in 2009 Q436 35 http://www.census.gov.ph/data/sectordata/bp09q4tx.html 36 Ibid
  • 35. Philippines Solar Energy Opportunity Research for Spanish RE Technology 35 Exhibit 10: Total Number of units, Floor area and value of construction over the 6 yrs 2004-09 HLURB (Housing and Land Use Regulatory Board) has given some estimates of possible projects. Constructions which have been registered since 2008 will be ongoing or yet to constructed by 2010. Exhibit 11-13 shows these projects for the years 2010, 2009 and 2008 respectively. It is also necessary to scope down this huge list of projects. Exhibit 14 shows the list of projects belonging to main provinces such as Cebu, Metro Manila, Laguna and Davao. This constitutes around 85 projects from the original list of 167 projects across 3 years 2008-2010. Exhibit 15 shows Government projects for next 3 years. This comes to about 41 projects in pipeline from the pool of 167 projects. Exhibit 16 shows the percentage of square area constituted by the projects in main provinces (85 projects) as of the total projects.
  • 36. Philippines Solar Energy Opportunity Research for Spanish RE Technology 36 Exhibit 11: 2010 Projects in Pipeline registered at HLURB37 37 www.hlurb.gov.ph PROJ_NAME DATE_ISSUED LOCATION AREA DEV_NAME PROJ_TYPE HL LOTS RES COMM UNITS QUEENSTOWNHEIGHTS 4/6/2010Brgy.SanLuis 2.5099CityGovernmentofPasayCity EH 40 THETRIBECAPRIVATERESIDENCES(CHELSEAPLACETOWER3) 1/20/2010EastServiceRoad,Brgy.Sucat 0.192LandcoPacificCorporation RCC 216 2 AZUREURBANRESORTRESIDENCES-BUILDINGONE 5/25/2010WestServiceRoad,Bicutan 6.0489CenturyLimitlessCorporation RC 756 ETONPARKVIEWGREENBELT 5/25/2010GamboaSt.,LegaspiVillage 0.089EtonPropertiesPhilippines,Inc. RCC 230 1 SANJOSEESTATESPHASE2(ST.BERNICEESTATES) 4/8/2010Brgy.SanJose 3.4467RobinsonsHomes,Inc. OM 110 102 SOUTHSQUAREPLAZA-2 1/28/2010Brgy.PasongKawayanII 0.6409RobinsonsLandCorp. CS 33 BALIOASIS-MARCOSHIGHWAY(BUILDINGS1AND2) 6/9/2010Brgy.,Santolan 1.8916FilinvestLand,Inc. RC 310 BALIOASIS-MARCOSHIGHWAY(BUILDINGS1AND2) 6/9/2010BRGY.SANTOLAN 1.8916FILINVESTLAND,INC. RC 310 BALIOASIS-MARCOSHIGHWAY(BUILDINGS3AND4) 6/9/2010Brgy.Santolan FILINVESTLAND,INC. RC 320 CAPRIOASIS 6/22/2010BRGY.S.ANTONIOAVE.,MAYBUNGA 1.9736FILINVESTLAND,INC. RCC 313 10 ONEOASISORTIGAS 6/2/2010OrtigasExt.,Brgy.Sta.Lucia FilinvestLand,Inc. RC 399 THEBEAUFORT 4/12/20105thAve.,FortBonifacioGlobalCity 0.3889FilinvestDevelopmentCorporationRC 145 THEVILLAS(EXPANSION) 6/7/2010Brgy.SanJuan 0.9139FilinvestLand,Inc. OM 22 PARKTERRACES 1/6/2010ArnaizAve.,AyalaCenter AyalaLand,Inc. RCC 370 14 PARKTERRACES 5/14/2010ArnaizAve.,AyalaCenter 0.392985AyalaLand,Inc. RCC 370 14
  • 37. Philippines Solar Energy Opportunity Research for Spanish RE Technology 37 Exhibit 12: 2009 Projects in Pipeline registered at HLURB38 38 Ibid PROJ_NAME DATE_ISSUED LOCATION AREA DEV_NAME PROJ_TYPE HL LOTS RES COMM UNITS LRT/CAVITE PROVINCE RELOCATION SITE 11/24/2009 Brgy. Santiago Provincial Government of Cavite 73 Pamayanang Maliksi 1/9/2009 Brgy. San Paloocan 53.4776 Provincial Government of Cavite SH 99 Pamayanang Maliksi 1/9/2009 Brgy. San Paloocan 53.4776 Provincial Government of Cavite SH 12 Pamayanang Maliksi 1/9/2009 Brgy. San Paloocan 53.4776 Provincial Government of Cavite SH 34 Pamayanang Maliksi 1/9/2009 Brgy. San Paloocan 53.4776 Provincial Government of Cavite SH 34 Pamayanang Maliksi 1/9/2009 Brgy. San Paloocan 53.4776 Provincial Government of Cavite SH 33 Pamayanang Maliksi 1/9/2009 Brgy. San Paloocan 53.4776 Provincial Government of Cavite SH 33 Pamayanang Maliksi 1/9/2009 Brgy. San Paloocan 53.4776 The Provincial Government of CaviteSH 37 Pamayanang Maliksi 1/9/2009 Brgy. San Paloocan 53.4776 Provincial Government of Cavite SH 33 Pamayanang Maliksi 1/9/2009 Brgy. San Paloocan 53.4776 Provincial Government of Cavite SH 34 Pamayanang Maliksi (Cluster E) 1/9/2009 Brgy. San Paloocan 53.4776 Provincial Government of Cavite SH 243 Pamayanang Maliksi (Cluster- E) 1/9/2009 Brgy. Pasong Kawayan II 53.4776 Provincial Government of Cavite SH 79 PAMAYANANG MALIKSI (CLUSTER -E) 1/9/2009 Brgy. San Paloocan 53.4776 Provincial Government of Cavite SH SOCIALIZED HOUSING PROJECT OF PASAY CITY 11/24/2009 Tanay Rizal 0 City Government of Pasay City SHP 10 SOCIALIZED HOUSING PROJECT OF PASAY CITY 11/24/2009 Brgy. Plaza Aldea 3.132 City Government of Pasay SH 447 VILLA DE MAVALOR I 7/9/2009 Brgy. Mavalor 14.1779 Local Government Unit of Rosario, BatangasSH 180 Villa De Mavalor I Subdivision 7/9/2009 Brgy. Mavalor 14.1779 Local Government Unit of Rosario, BatangasSH 10 Villa De Mavalor I Subdivision 7/9/2009 Brgy. Mavalor 14.1779 Local Government Unit of Rosario, BatangasSH 89 Villa De Mavalor I Subdivision 7/9/2009 Brgy. Mavalor 14.1779 Local Government Unit of Rosario, BatangasSH 34 Villa De Mavalor I Subdivision 7/9/2009 Brgy. Mavalor 14.1779 Local Government of Rosario BatangasSH 64 Villa De Mavalor I Subdivision 7/9/2009 Brgy. Mavalor 14.1779 Local Government Unit of Rosario, BatangasSH 20 VILLA DE MAVALOR I SUBDIVISION 7/9/2009 Brgy. Mavalor Local Government Unit of Rosario, BatangasSH 75 Playa Calatagan Phase 2-C 3/17/2009 Brgy. Calumbayan 5.8096 Landco Pacific, Inc. OM 144 Playa Calatagan Phase 4 3/20/2009 Brgy. Calumbayan 12.8976 Landco Pacific, Inc. OM 277 Playa Laiya Residential Phase I-B 3/17/2009 Brgy. Laiya 5.7104 Landco Pacific, Inc. OM 127 Playa Laiya Residential Phase I-C 3/17/2009 Brgy. Laiya 2.0005 Landco Pacific, Inc. OM 54 The Courtyard @Lakewood Golf Estate 1/26/2009 Sta. Arcadia 14.17 Landco Paciifc Corp. OM 334 Waterwood Park Ph. 2-B 1/26/2009 Catulihan 1.1842 Landco Pacific, Corp. OM 48 Waterwood Park Ph. 2-D 1/26/2009 Catulihan 0.6485 Landco Pacific, Corp. OM 27 Waterwood Park Ph. 2-E 1/26/2009 Catulihan 1.2758 Landco Pacific, Corp. OM 56 Waterwood Park Ph. 2-F 1/26/2009 Catulihan 0.9113 Landco Pacific, Corp. OM 42 Woodgrove Park Cluster 2 & 3 1/22/2009 del Carmen 25.03 Landco Paciifc Corp. OM 571 Woodridge Garden Village 2/4/2009 Loozoran 10.805 Landco Pacific Corporation SHP 341 GREENBELT MADISON 6/26/2009 176 Salcedo St., Legaspi Village Megaworld Corporation RCC 282 2 PARKSIDE VILLAS 5/11/2009 Sales Ave., Villamor Airbase, Megaworld Corporation RC 886 THE PARKSIDE VILLAS 5/11/2009 Villamor Airbase 1.534 Megaworld Corporation RC 886 TUSCANY PRIVATE ESTATE 1/23/2009 100 Upper Mckinley Rd., Fort Bonifacio 1.5424 Megaworld Corporation RCC 396 38 TUSCANY PRIVATE ESTATE 1/23/2009 100 Upper Mckinley Rd., Fort Bonifacio 1.5424 Megaworld Corporation RCC 396 38 WHITE PLAINS TERRACES 4/8/2009 Katipunan Avenue, Brgy. White Plains 0.963 Megaworld Corporation OM 20 ETON BAYPARK MANILA 3/23/2009 T.M. Kalaw Ave. cor. Roxas Blvd. 0.07442 Eton Properties Philippines, Inc. RCC 213 3 ONE ARCHERS PLACE 5/12/2009 corner Taft Ave and Castro and Fidela A-Reyes Sts., Malate0.31338 Eton Properties Philippines, Inc. RCC 665 2 THE ETON RESIDENCES - GREENBELT 3/31/2009 Legaspi St., Legaspi Village 0.1732 Eton Properties Philippines, Inc. RCC 290 2 ASPEN HEIGHTS SUBDIVISION 12/9/2009 DANLAG 14.5515 ROBINSONS LAND, INC. OM 586 Otis 888 Residences 2/13/2009 Paz M. Guanzon cor. Mendoza Sts., Paco, Manila Robinsons Land Corporation OM 179 THE FORT RESIDENCES 9/22/2009 Fort Bonifacio 0.2002 Robinson Land Corporation RCC 235 9 BALI OASIS - MARCOS HIGHWAY (Buildings 1 & 2) 2/4/2009 Marcos Highway, Brgy., Santolan Filinvest Land, Inc. RCC 310 476 IRVINE PLACE II 10/16/2009 San Isidro, Filinvest Land, Inc. OM 22 NUSA DUA PH. 5 12/18/2009 Brgy. Paradahan 5.1436 Filinvest Land Inc. Farmlot 47 One Oasis - Davao (Bldg. 1 and 2) 1/30/2009 Eco-West Drive, Ecoland 0.5287 Filinvest Land, Inc. RC 20 ONE OASIS - ORTIGAS 5/5/2009 Brgy. Sta. Lucia Filinvest Land, Inc. RCC 389 ONE OASIS-MABOLO 11/6/2009 KASAMBAGAN, MABOLO 1.0884 FILINVEST LAND, INC. RC 380 Princeton Heights 8/18/2009 Brgy. Mambog 6.5375 Filinvest Land, Inc. OM 230 Princeton Heights- Commercial 9/22/2009 Brgy. Mambog 1.301 Filinvest Land, Inc. CS 33 Summerbreeze Phase 2- Commercial 3/17/2009 Brgy. Sta. Maria 0.1993 Filinvest Land, Inc. CS 8 Sunrise Place Phase 2 8/27/2009 Brgy. Tres Cruces 10.556 Filinvest Land, Inc. SH 1612 THE GLENS AT PARKSPRING 2 12/18/2009 Brgy. San Antonio (San Vicente) 6.236 Filinvest Land Inc. OM 98 246 Viridian at South Peak 11/18/2009 Brgy. San Antonio 1.0389 Filinvest Land, Inc. OM 25 Santierra Phase I 11/10/2009 Nuvali, Brgy. Sto. Domingo 47.2096 Ayala Land, Incorporation OM 301 The Crestwood at Ayala Westgrove Heights Phase 12 1/28/2009 Brgy. Tibig (Munting ilog) 6.4411 Ayala Land, Inc OM 33 50 The Vistas at Mango Grove, Anvaya Cove 7/28/2009 Sabang 6.827 Ayala Land Inc OM 36 Verdana Homes Asyana Phase I 7/6/2009 Zone 15 4.3895 Ayala Land, Inc. OM 116
  • 38. Philippines Solar Energy Opportunity Research for Spanish RE Technology 38 Exhibit 13: 2009 Projects in Pipeline registered at HLURB39 39 Ibid PROJ_NAME DATE_ISSUED LOCATION AREA DEV_NAME PROJ_TYPE HL LOTS RES COMM UNITS Capitol Hills Subdivision 3/7/2008 Lanot 4.956 Provincial Government of Capiz SH 264 DURAVILLE HOMES ANGONO PHASES I AND II 12/17/2008 Brgy. Sabutan, Silang 0 City Government of Pasay City SHP 385 Kabankalan Socialized Housing Project 2 7/3/2008 Bgy. VI 2.0238 Negros Economic Development Foundation (NEDF)/City Government of KabankalanSH 96 0 0 0 0 Makati Housing Project 11/14/2008 Brgy. Dayap 39.8661 City Government of Makati SH 6193 PAMAYANANG MALIKSI 12/17/2008 Tanay City Government of Pasay City SHP 50 PAMAYANANG MALIKSI 11/28/2008 Brgy. Pasong Kawayan II Provincial Government of Cavite SH 34 Pamayanang Maliksi 11/28/2008 Brgy. Pasong Kawayan II Provincial Government of Cavite SH 173 SOCIALIZED HOUISNG PROJECT OF PASAY CITY 12/17/2008 Tanay City Government of Pasay City SHP 50 Socialized Housing Project of Pasay City 12/17/2008 Plaza Aldea 10.0407 City Government of Pasay sh 34 Socialized Housing Project of Pasay City 12/17/2008 Brgy. Plaza Aldea 10.0407 City Government of Pasay City SH 34 SOCIALIZED HOUSING PROJECT OF PASAY CITY 12/17/2008 Tanay, Rizal 0 City Government of Pasay SHP 35 Socialized Housing Project of Pasay City 12/17/2008 Brgy. Plaza Aldea 10.0407 City Government of Pasay SH 89 SOCIALIZED HOUSING PROJECT OF PASAY CITY 12/17/2008 Plaza Aldea, Tanay, Rizal 0 Pasay City Government SHP 53 SOCIALIZED HOUSING PROJECT OF PASAY CITY 12/17/2008 Plaza Aldea 10.04 City Government of Pasay City SH 104 SOCIALIZED HOUSING PROJECT OF PASAY CITY 12/17/2008 Brgy. Plaza Aldea 10.0407 City Government of Pasay SH 28 Socialized Housing Project of Pasay City 12/17/2008 Brgy. Plaza Aldea 10.0407 City Government of Pasay SH 117 SOUTHVILLE 1 and 1B HOUSING PROJECT 12/17/2008 Tanay City Government of Pasay City SHP 50 SOUTHVILLE 1 HOUSING PROJECT 12/17/2008 Brgy. Sabutan, Silang 0 City Government of Pasay City SHP 75 SOUTHVILLE 1 HOUSING PROJECT 12/17/2008 Tanay City Government of Pasay City SHP 50 SOUTVILLE 1B HOUSING PROJECT 12/17/2008 Tanay City Government of Pasay City SHP 50 PLAYA AZALEA 11/4/2008 BRGY. LIMAO 27.2962 LANDCO PACIFIC CORPORATIONOM 574 TRIBECA PRIVATE RESIDENCES (CHELSEA PLACE TOWERS I AND II AND CHELSEA PARKING BUILDING6/27/2008 East Service Road, Brgy. Sucat 0.6892 Landco Pacific Corporation RCC 432 4 TRIBECA PRIVATE RESIDENCES (CHELSEA PLACE TOWERS I AND II AND CHELSEA PARKING BUILDING6/27/2008 East Service Road, Brgy. Sucat 0.6892 Landco Pacific Corporation RCC 432 4 Waterwood Park Ph 3-A 10/2/2008 Catulinan & Pagala 3.0339 Landco Pacific Corp. OM 111 Waterwood Park Ph 3-A 10/2/2008 Catulinan & Pagala 3.0339 Landco Pacific Corp. OM 111 Bellagio 3 5/9/2008 Fort Bonifacio 0.3081 Megaworld Corporation RCC 435 4 CITYPLACE AT BINONDO (TOWERS A AND B) 6/27/2008 Calle Felipe and Gen. La Chambre Sts., Binondo0.49327 Megaworld Corporation RCC 525 12 CITYPLACE AT BINONDO (TOWERS A AND B) 6/27/2008 Calle Felipe and Gen. La Chambre Sts., Binondo0.49327 Megaworld Corporation RCC 525 12 Eastwood Le Grand 3/5/2008 Brgy. Libis 0.2219 Megaworld Corporation RCC 651 6 EASTWOOD LE GRAND 2 10/14/2008 Libis, Quezon City 0.2351 Megaworld Corporation RCC 537 8 EASTWOOD LE GRAND 2 10/14/2008 Libis, Quezon City 0.2351 Megaworld Corporation RCC 537 8 Eastwood Le Grand 2 4/29/2008 Libis, Quezon City Megaworld Corporation RCC 537 8 Greenbelt Chancellor 4/8/2008 Rada St., Legaspi St., Makati City 0.0919 Megaworld Corporation RCC 328 2 Greenbelt Excelsior 4/8/2008 105 Carlos Palanca St., Legaspi Village 0.0919 Megaworld Corporation RCC 331 2 GREENHILLS HEIGHTS 10/15/2008 Pinaglabanan cor. Msgr. Alvarez Sts., 0.3826 Megaworld Corporation RC 174 GREENHILLS HEIGHTS 10/15/2008 Pinaglabanan cor. Msgr. Alvarez Sts., 0.3826 Megaworld Corporation RC 174 Manhattan Parkview 11/25/2008 Araneta Center, Cubao 1.1257 MEGAWORLD CORPORATION RCC 0 753 28 Mckinley Garden Villas Phase 2 (Clusters 2A to 2D 5/22/2008 Fort Bonifacio 0.4882 Megaworld Corporation RC 112 MORGAN SUITES EXECUTIVE RESIDENCES 8/26/2008 Florence Way, Fort Bonifacio Megaworld Corporation RCC 1080 2 ONE CENTRAL 8/8/2008 Sen. Gil Puyat Ave. cor. Geronimo St. Megaworld Corporation RCC 749 2 ONE CENTRAL 8/8/2008 Sen. Gil Puyat Ave. cor. Geronimo St. Megaworld Corporation RCC 749 2 PARKSIDE VILLAS 10/24/2008 Sales Ave., Villamor Airbase, Megaworld Corporation RC 886 PARKSIDE VILLAS 10/24/2008 Sales Ave., Villamor Airbase, Megaworld Corporation RC 886 Stamford Executive Residences 2/29/2008 Fort Bonifacio 0.3239 Megaworld Corporation RCC 980 6 The Clubhouse at Temple Drive 4/2/2008 Temple Drive Bo. Ugong Norte 0.1982 Megaworld Corporation CC 9 THE RESIDENTIAL RESORT AT NEWPORT CITY 10/16/2008 Manlunas St., Villamor Airbase 3.7442 Megaworld Corporation RCC 2404 14 THE RESIDENTIAL RESORT AT NEWPORT CITY 10/16/2008 Manlunas St., Villamor Airbase 3.7442 Megaworld Corporation RCC 2404 14 THE VENICE LUXURY RESIDENCES 10/24/2008 Mckenley Hill, Fort Bonifacio Megaworld Corporation RCC 1988 20 THE VENICE LUXURY RESIDENCES 10/24/2008 Mckenley Hill, Fort Bonifacio Megaworld Corporation RCC 1988 20 Canyon Ranch Expansion 12/12/2008 Brgy. Lantic 3.2515 Century Communities Corporation OM 167 KNIGHTSBRIDGE RESIDENCES 10/24/2008 Spring St. cor. B. Valdez Sts., Poblacion 0.737 Century City Development CorporationRCC 1180 6 KNIGHTSBRIDGE RESIDENCES 10/24/2008 Spring St. cor. B. Valdez Sts., Poblacion 0.737 Century City Development CorporationRCC 1180 6 Knightsbridge Residences 4/24/2008 A. Spring St. cor. B. Valdez St. Century City Development CorporationRCC 1180 6 Pacific Palisades 5/8/2008 No. 1151 Ma. Orosa St., Ermita, Century Pacific Prop. and Development CorporationRCC 80 7 The Gramercy Residences 4/17/2008 Kalayaan Ave. 0.4471 Century City Development CorporationRCC 1270 5 Belton Place 6/25/2008 Malugay St., Eton Properties Philippines, Inc. RCC 606 4 Belton Place 6/25/2008 Malugay St., Eton Properties Philippines, Inc. RCC 606 4 ETON PARKVIEW GREENBELT 10/20/2008 Legaspi Village, Eton Properties Philippines, Inc. RCC 230 1 ETON PARKVIEW GREENBELT 10/20/2008 Legaspi Village, Eton Properties Philippines, Inc. RCC 230 1 ONE ARCHERS PLACE 6/25/2008 corner Taft Ave and Castro and Fidela A-Reyes Sts., MalateEton Properties Philippines, Inc. RCC 665 2 ONE ARCHERS PLACE 6/25/2008 corner Taft Ave and Castro and Fidela A-Reyes Sts., MalateEton Properties Philippines, Inc. RCC 665 2 AMISA PRIVATE RESIDENCES 7/21/2008 BRGY. PUNTA ENGANO 4.8381 ROBINSONS LAND CORP. RC 764 East of Galleria 3/3/2008 Topaz and Ruby Road Ortgas Center Robinsons Land Corporation RC 758 Fresno Parkview 10/21/2008 Brgy. Lumbia 13.1375 Robinsons Homes, Inc. MCH 490 MCKINLEY PARK RESIDENCES 10/27/2008 3rd Ave, cor. 31st St., Cresent Park West, Bonifacio Global City0.16 Robinsons Land Corporation RCC 321 7 THE TRION TOWERS (TOWER I) 10/17/2008 8th Ave. cor. Mckinley Parkway, Bonifacio Global CityRobinson Land Corporation RC 736 THE TRION TOWERS (TOWER I) 10/17/2008 8th Ave. cor. Mckinley Parkway, Bonifacio Global CityRobinson Land Corporation RC 736 ALTA VIDA PHASE III 3/13/2008 San Roque 3.2195 Filinvest Land Incorporated OM 147 Belvedere Towne Phase II 11/24/2008 Brgy. Paradahan 0.1134 Filinvest Land, Inc SH 30 CLAREMONT SUBDIVISION 2/21/2008 Sta. Maria 8.9166 Filinvest Land Incorporated OM 368 One Oasis Ortigas 12/19/2008 Brgy. Sta. Lucia Filinvest Land, Inc. RC One Oasis Ortigas 12/19/2008 Brgy. Sta. Lucia Filinvest Land, Inc. RC Santoso Villas at Nusa Dua Farm Estate 11/12/2008 Brgy. Paradahan 5.451 Filinvest Land, Inc OM 122 SEASCAPE SUBDIVISION 11/10/2008 DAPDAP, MACTAN 2.1377 FILINVEST DEVEVLOPMENT CORP.OM 56 STA. CECILIA PHAS III 10/13/2008 Brgy. San Roque 0.5492 Filinvest Land, Inc. OM 20 STA. CECILIA PHAS III 10/13/2008 Brgy. San Roque 0.5492 Filinvest Land, Inc. RS 20 STUDIO TWO 8/20/2008 Northgate Cyberzone, Filinvest Corporate City, Alabang0.1113 Filinvest Alabang, Inc. RCC 292 5 STUDIO TWO 8/20/2008 Northgate Cyberzone, Filinvest Corporate City, Alabang0.1113 Filinvest Alabang, Inc. RCC 292 5 The Enclave at Filinvest Heights 5/8/2008 Brgy. Bagong Silangan 0.97785 Filinvest Land, Inc. OM 38 The Tropics Phase 3 5/28/2008 Brgy. San Isidro 2.5587 Filinvest Land, Inc. OM 97 The Tropics Phase 3 5/28/2008 Brgy. San Isidro 2.5587 Filinvest Land, Inc. RS 97 TREVISO EXPANSION 11/26/2008 Brgy. Batasan Hills 0.7014 Filinvest Land, Inc. OM 26 TREVISO EXPANSION 11/26/2008 Brgy. Batasan Hills 0.7014 Filinvest Land, Inc. OM 26 Tropics Phase 2 2/28/2008 Cainta, Rizal 1.3359 Filinvest Land, Inc. OM 55 Abrio Phase 2-A 7/24/2008 Nuvali, Brgy. Sto. Domingo 8.9116 Ayala Land, Inc. OM 42 Abrio Phase 2-A 7/24/2008 Nuvali, Brgy. Sto. Domingo 8.9116 Ayala Land, Inc. OM 42 Bamboo Grove at Anvaja Cove 7/28/2008 Sabang 6.4742 Ayala Land, Inc. OM 67 Plantazionne Verdana Homes Phase IV 5/9/2008 Zone 15 3.4189 Ayala Land, Inc. OM 0 94 0 0 0 Plantazionne Verdana Homes Phase IV 5/9/2008 Zone 15 3.4189 Ayala Land, Inc. OM 0 94 0 0 0 Sonera 3/4/2008 Ayala Southvale Village 1.3272 Ayala Land, Inc. OM 25 The East Tower at One Serendra 2/29/2008 Fort Bonifacio Ayala Land, Inc. RC 283 THE ORCHARD TERRACES AT AYALA WESTGROVE HEIGHTS (PHASE 11)5/19/2008 Munting Ilog 14 AYALA LAND, INC. OM 158 THE ORCHARD TERRACES AT AYALA WESTGROVE HEIGHTS (PHASE 11)5/19/2008 Munting Ilog 14 AYALA LAND, INC. OM 158
  • 39. Philippines Solar Energy Opportunity Research for Spanish RE Technology 39 Exhibit 14: Projects in Pipeline registered at HLURB for Main Provinces40 40 Ibid PROJ_NAME DATE_ISSUED LOCATION MUNICIPALITY PROVINCE AREA DEV_NAME PROJ_TYPE HL LOTS RES COMM UNITS Makati Housing Project 11/14/2008 Brgy. Dayap Calauan Laguna 39.8661 City Government of Makati SH 6193 SOUTHVILLE 1 HOUSING PROJECT 12/17/2008 Brgy. Sabutan, Silang Laguna 0 City Government of Pasay City SHP 75 PLAYA AZALEA 11/4/2008 BRGY. LIMAO ISLAND GARDEN CITY OF SAMAL DAVAO DEL NORTE 27.2962 LANDCO PACIFIC CORPORATIONOM 574 THE TRIBECA PRIVATE RESIDENCES (CHELSEA PLACE TOWER 3)1/20/2010 East Service Road, Brgy. Sucat Muntinlupa City Metro Manila 0.192 Landco Pacific Corporation RCC 216 2 TRIBECA PRIVATE RESIDENCES (CHELSEA PLACE TOWERS I AND II AND CHELSEA PARKING BUILDING6/27/2008 East Service Road, Brgy. Sucat Muntinlupa City Metro Manila 0.6892 Landco Pacific Corporation RCC 432 4 TRIBECA PRIVATE RESIDENCES (CHELSEA PLACE TOWERS I AND II AND CHELSEA PARKING BUILDING6/27/2008 East Service Road, Brgy. Sucat Muntinlupa City Metro Manila 0.6892 Landco Pacific Corporation RCC 432 4 Bellagio 3 5/9/2008 Fort Bonifacio Taguig City Metro Manila 0.3081 Megaworld Corporation RCC 435 4 CITYPLACE AT BINONDO (TOWERS A AND B) 6/27/2008 Calle Felipe and Gen. La Chambre Sts., BinondoManila Metro Manila 0.49327 Megaworld Corporation RCC 525 12 CITYPLACE AT BINONDO (TOWERS A AND B) 6/27/2008 Calle Felipe and Gen. La Chambre Sts., BinondoManila Metro Manila 0.49327 Megaworld Corporation RCC 525 12 Eastwood Le Grand 3/5/2008 Brgy. Libis Quezon City Metro Manila 0.2219 Megaworld Corporation RCC 651 6 EASTWOOD LE GRAND 2 10/14/2008 Libis, Quezon City Quezon City Metro Manila 0.2351 Megaworld Corporation RCC 537 8 EASTWOOD LE GRAND 2 10/14/2008 Libis, Quezon City Quezon City Metro Manila 0.2351 Megaworld Corporation RCC 537 8 Eastwood Le Grand 2 4/29/2008 Libis, Quezon City Quezon City Metro Manila Megaworld Corporation RCC 537 8 Greenbelt Chancellor 4/8/2008 Rada St., Legaspi St., Makati City Makati City Metro Manila 0.0919 Megaworld Corporation RCC 328 2 Greenbelt Excelsior 4/8/2008 105 Carlos Palanca St., Legaspi Village Makati City Metro Manila 0.0919 Megaworld Corporation RCC 331 2 GREENBELT MADISON 6/26/2009 176 Salcedo St., Legaspi Village Makati City Metro Manila Megaworld Corporation RCC 282 2 GREENHILLS HEIGHTS 10/15/2008 Pinaglabanan cor. Msgr. Alvarez Sts., San Juan City Metro Manila 0.3826 Megaworld Corporation RC 174 GREENHILLS HEIGHTS 10/15/2008 Pinaglabanan cor. Msgr. Alvarez Sts., San Juan City Metro Manila 0.3826 Megaworld Corporation RC 174 Manhattan Parkview 11/25/2008 Araneta Center, Cubao Quezon City Metro Manila 1.1257 MEGAWORLD CORPORATION RCC 0 753 28 Mckinley Garden Villas Phase 2 (Clusters 2A to 2D 5/22/2008 Fort Bonifacio Taguig City Metro Manila 0.4882 Megaworld Corporation RC 112 MORGAN SUITES EXECUTIVE RESIDENCES 8/26/2008 Florence Way, Fort Bonifacio Taguig City Metro Manila Megaworld Corporation RCC 1080 2 ONE CENTRAL 8/8/2008 Sen. Gil Puyat Ave. cor. Geronimo St. Makati City Metro Manila Megaworld Corporation RCC 749 2 ONE CENTRAL 8/8/2008 Sen. Gil Puyat Ave. cor. Geronimo St. Makati City Metro Manila Megaworld Corporation RCC 749 2 PARKSIDE VILLAS 10/24/2008 Sales Ave., Villamor Airbase, Pasay City Metro Manila Megaworld Corporation RC 886 PARKSIDE VILLAS 5/11/2009 Sales Ave., Villamor Airbase, Pasay City Metro Manila Megaworld Corporation RC 886 PARKSIDE VILLAS 10/24/2008 Sales Ave., Villamor Airbase, Pasay City Metro Manila Megaworld Corporation RC 886 Stamford Executive Residences 2/29/2008 Fort Bonifacio Taguig City Metro Manila 0.3239 Megaworld Corporation RCC 980 6 The Clubhouse at Temple Drive 4/2/2008 Temple Drive Bo. Ugong Norte Quezon City Metro Manila 0.1982 Megaworld Corporation CC 9 THE RESIDENTIAL RESORT AT NEWPORT CITY 10/16/2008 Manlunas St., Villamor Airbase Pasay City Metro Manila 3.7442 Megaworld Corporation RCC 2404 14 THE RESIDENTIAL RESORT AT NEWPORT CITY 10/16/2008 Manlunas St., Villamor Airbase Pasay City Metro Manila 3.7442 Megaworld Corporation RCC 2404 14 THE VENICE LUXURY RESIDENCES 10/24/2008 Mckenley Hill, Fort Bonifacio Taguig City Metro Manila Megaworld Corporation RCC 1988 20 THE VENICE LUXURY RESIDENCES 10/24/2008 Mckenley Hill, Fort Bonifacio Taguig City Metro Manila Megaworld Corporation RCC 1988 20 TUSCANY PRIVATE ESTATE 1/23/2009 100 Upper Mckinley Rd., Fort Bonifacio Taguig City Metro Manila 1.5424 Megaworld Corporation RCC 396 38 TUSCANY PRIVATE ESTATE 1/23/2009 100 Upper Mckinley Rd., Fort Bonifacio Taguig City Metro Manila 1.5424 Megaworld Corporation RCC 396 38 WHITE PLAINS TERRACES 4/8/2009 Katipunan Avenue, Brgy. White Plains Quezon City Metro Manila 0.963 Megaworld Corporation OM 20 AZURE URBAN RESORT RESIDENCES - BUILDING ONE 5/25/2010 West Service Road, Bicutan Parañaque City Metro Manila 6.0489 Century Limitless Corporation RC 756 KNIGHTSBRIDGE RESIDENCES 10/24/2008 Spring St. cor. B. Valdez Sts., Poblacion Makati City Metro Manila 0.737 Century City Development CorporationRCC 1180 6 KNIGHTSBRIDGE RESIDENCES 10/24/2008 Spring St. cor. B. Valdez Sts., Poblacion Makati City Metro Manila 0.737 Century City Development CorporationRCC 1180 6 Knightsbridge Residences 4/24/2008 A. Spring St. cor. B. Valdez St. Makati City Metro Manila Century City Development CorporationRCC 1180 6 Pacific Palisades 5/8/2008 No. 1151 Ma. Orosa St., Ermita, Manila Metro Manila Century Pacific Prop. and Development CorporationRCC 80 7 The Gramercy Residences 4/17/2008 Kalayaan Ave. Makati City Metro Manila 0.4471 Century City Development CorporationRCC 1270 5 Belton Place 6/25/2008 Malugay St., Makati City Metro Manila Eton Properties Philippines, Inc. RCC 606 4 Belton Place 6/25/2008 Malugay St., Makati City Metro Manila Eton Properties Philippines, Inc. RCC 606 4 ETON BAYPARK MANILA 3/23/2009 T.M. Kalaw Ave. cor. Roxas Blvd. Manila Metro Manila 0.07442 Eton Properties Philippines, Inc. RCC 213 3 ETON PARKVIEW GREENBELT 5/25/2010 Gamboa St., Legaspi Village Makati City Metro Manila 0.089 Eton Properties Philippines, Inc. RCC 230 1 ETON PARKVIEW GREENBELT 10/20/2008 Legaspi Village, Makati City Metro Manila Eton Properties Philippines, Inc. RCC 230 1 ETON PARKVIEW GREENBELT 10/20/2008 Legaspi Village, Makati City Metro Manila Eton Properties Philippines, Inc. RCC 230 1 ONE ARCHERS PLACE 6/25/2008 corner Taft Ave and Castro and Fidela A-Reyes Sts., MalateManila Metro Manila Eton Properties Philippines, Inc. RCC 665 2 ONE ARCHERS PLACE 5/12/2009 corner Taft Ave and Castro and Fidela A-Reyes Sts., MalateManila Metro Manila 0.31338 Eton Properties Philippines, Inc. RCC 665 2 ONE ARCHERS PLACE 6/25/2008 corner Taft Ave and Castro and Fidela A-Reyes Sts., MalateManila Metro Manila Eton Properties Philippines, Inc. RCC 665 2 THE ETON RESIDENCES - GREENBELT 3/31/2009 Legaspi St., Legaspi Village Makati City Metro Manila 0.1732 Eton Properties Philippines, Inc. RCC 290 2 AMISA PRIVATE RESIDENCES 7/21/2008 BRGY. PUNTA ENGANO LAPU-LAPU CITY CEBU 4.8381 ROBINSONS LAND CORP. RC 764 ASPEN HEIGHTS SUBDIVISION 12/9/2009 DANLAG CONSOLACION CEBU 14.5515 ROBINSONS LAND, INC. OM 586 MCKINLEY PARK RESIDENCES 10/27/2008 3rd Ave, cor. 31st St., Cresent Park West, Bonifacio Global CityTaguig City Metro Manila 0.16 Robinsons Land Corporation RCC 321 7 Otis 888 Residences 2/13/2009 Paz M. Guanzon cor. Mendoza Sts., Paco, ManilaManila Metro Manila Robinsons Land Corporation OM 179 THE FORT RESIDENCES 9/22/2009 Fort Bonifacio Taguig City Metro Manila 0.2002 Robinson Land Corporation RCC 235 9 THE TRION TOWERS (TOWER I) 10/17/2008 8th Ave. cor. Mckinley Parkway, Bonifacio Global CityTaguig City Metro Manila Robinson Land Corporation RC 736 THE TRION TOWERS (TOWER I) 10/17/2008 8th Ave. cor. Mckinley Parkway, Bonifacio Global CityTaguig City Metro Manila Robinson Land Corporation RC 736 BALI OASIS - MARCOS HIGHWAY (Buildings 1 & 2) 2/4/2009 Marcos Highway, Brgy., Santolan Pasig City Metro Manila Filinvest Land, Inc. RCC 310 476 BALI OASIS - MARCOS HIGHWAY (BUILDINGS 1 AND 2) 6/9/2010 Brgy., Santolan Pasig City Metro Manila 1.8916 Filinvest Land, Inc. RC 310 BALI OASIS - MARCOS HIGHWAY (BUILDINGS 1 AND 2) 6/9/2010 BRGY. SANTOLAN Pasig City Metro Manila 1.8916 FILINVEST LAND, INC. RC 310 BALI OASIS - MARCOS HIGHWAY (BUILDINGS 3 AND 4) 6/9/2010 Brgy. Santolan Pasig City Metro Manila FILINVEST LAND, INC. RC 320 CAPRI OASIS 6/22/2010 BRGY. S. ANTONIO AVE., MAYBUNGA Pasig City Metro Manila 1.9736 FILINVEST LAND, INC. RCC 313 10 One Oasis - Davao (Bldg. 1 and 2) 1/30/2009 Eco-West Drive, Ecoland Davao City Davao Del Sur 0.5287 Filinvest Land, Inc. RC 20 ONE OASIS - ORTIGAS 5/5/2009 Brgy. Sta. Lucia Pasig City Metro Manila Filinvest Land, Inc. RCC 389 ONE OASIS ORTIGAS 6/2/2010 Ortigas Ext., Brgy. Sta. Lucia Pasig City Metro Manila Filinvest Land , Inc. RC 399 One Oasis Ortigas 12/19/2008 Brgy. Sta. Lucia Pasig City Metro Manila Filinvest Land, Inc. RC One Oasis Ortigas 12/19/2008 Brgy. Sta. Lucia Pasig City Metro Manila Filinvest Land, Inc. RC ONE OASIS-MABOLO 11/6/2009 KASAMBAGAN, MABOLO CEBU CITY CEBU 1.0884 FILINVEST LAND, INC. RC 380 SEASCAPE SUBDIVISION 11/10/2008 DAPDAP, MACTAN LAPU-LAPU CITY CEBU 2.1377 FILINVEST DEVEVLOPMENT CORP.OM 56 STUDIO TWO 8/20/2008 Northgate Cyberzone, Filinvest Corporate City, AlabangMuntinlupa City Metro Manila 0.1113 Filinvest Alabang, Inc. RCC 292 5 STUDIO TWO 8/20/2008 Northgate Cyberzone, Filinvest Corporate City, AlabangMuntinlupa City Metro Manila 0.1113 Filinvest Alabang, Inc. RCC 292 5 THE BEAUFORT 4/12/2010 5th Ave., Fort Bonifacio Global City Taguig City Metro Manila 0.3889 Filinvest Development Corporation RC 145 The Enclave at Filinvest Heights 5/8/2008 Brgy. Bagong Silangan Quezon City Metro Manila 0.97785 Filinvest Land, Inc. OM 38 THE GLENS AT PARKSPRING 2 12/18/2009 Brgy. San Antonio (San Vicente) San Pedro Laguna 6.236 Filinvest Land Inc. OM 98 246 TREVISO EXPANSION 11/26/2008 Brgy. Batasan Hills Quezon City Metro Manila 0.7014 Filinvest Land, Inc. OM 26 TREVISO EXPANSION 11/26/2008 Brgy. Batasan Hills Quezon City Metro Manila 0.7014 Filinvest Land, Inc. OM 26 Viridian at South Peak 11/18/2009 Brgy. San Antonio San Pedro Laguna 1.0389 Filinvest Land, Inc. OM 25 Abrio Phase 2-A 7/24/2008 Nuvali, Brgy. Sto. Domingo Sta. Rosa Laguna 8.9116 Ayala Land, Inc. OM 42 Abrio Phase 2-A 7/24/2008 Nuvali, Brgy. Sto. Domingo Sta. Rosa Laguna 8.9116 Ayala Land, Inc. OM 42 PARK TERRACES 1/6/2010 Arnaiz Ave., Ayala Center Makati City Metro Manila Ayala Land, Inc. RCC 370 14 PARK TERRACES 5/14/2010 Arnaiz Ave., Ayala Center Makati City Metro Manila 0.392985 Ayala Land, Inc. RCC 370 14 Santierra Phase I 11/10/2009 Nuvali, Brgy. Sto. Domingo Sto. Rosa Laguna 47.2096 Ayala Land, Incorporation OM 301 Sonera 3/4/2008 Ayala Southvale Village Las Piñas City Metro Manila 1.3272 Ayala Land, Inc. OM 25 The East Tower at One Serendra 2/29/2008 Fort Bonifacio Taguig City Metro Manila Ayala Land, Inc. RC 283
  • 40. Philippines Solar Energy Opportunity Research for Spanish RE Technology 40 Exhibit 15: Government‟s projects from HLURB database41 Provinces Area Dollar Value ( Thousands) Main Provinces 200.24 $ 5,006,051.88 Total Projects 1210.32 $ 8,472,243.33 Percentage 16.54% 59.09% Exhibit 16: Percentage of Area and the possible value of Main Provinces 41 Ibid PROJ_NAME DATE_ISSUED LOCATION AREA PROJ_TYPE HL LOTS Capitol Hills Subdivision 3/7/2008 Lanot 4.956 SH 264 DURAVILLE HOMES ANGONO PHASES I AND II 12/17/2008 Brgy. Sabutan, Silang 0 SHP 385 LRT/CAVITE PROVINCE RELOCATION SITE 11/24/2009 Brgy. Santiago 73 Makati Housing Project 11/14/2008 Brgy. Dayap 39.8661 SH 6193 Pamayanang Maliksi 1/9/2009 Brgy. San Paloocan 53.4776 SH 99 Pamayanang Maliksi 1/9/2009 Brgy. San Paloocan 53.4776 SH 12 Pamayanang Maliksi 1/9/2009 Brgy. San Paloocan 53.4776 SH 34 Pamayanang Maliksi 1/9/2009 Brgy. San Paloocan 53.4776 SH 34 Pamayanang Maliksi 1/9/2009 Brgy. San Paloocan 53.4776 SH 33 Pamayanang Maliksi 1/9/2009 Brgy. San Paloocan 53.4776 SH 33 Pamayanang Maliksi 1/9/2009 Brgy. San Paloocan 53.4776 SH 33 PAMAYANANG MALIKSI 12/17/2008 Tanay SHP 50 PAMAYANANG MALIKSI 11/28/2008 Brgy. Pasong Kawayan II SH 34 Pamayanang Maliksi 11/28/2008 Brgy. Pasong Kawayan II SH 173 Pamayanang Maliksi 1/9/2009 Brgy. San Paloocan 53.4776 SH 34 Pamayanang Maliksi (Cluster E) 1/9/2009 Brgy. San Paloocan 53.4776 SH 243 Pamayanang Maliksi (Cluster- E) 1/9/2009 Brgy. Pasong Kawayan II 53.4776 SH 79 PAMAYANANG MALIKSI (CLUSTER -E) 1/9/2009 Brgy. San Paloocan 53.4776 SH QUEENSTOWN HEIGHTS 4/6/2010 Brgy. San Luis 2.5099 EH 40 SOCIALIZED HOUISNG PROJECT OF PASAY CITY 12/17/2008 Tanay SHP 50 Socialized Housing Project of Pasay City 12/17/2008 Plaza Aldea 10.0407 sh 34 Socialized Housing Project of Pasay City 12/17/2008 Brgy. Plaza Aldea 10.0407 SH 34 SOCIALIZED HOUSING PROJECT OF PASAY CITY 11/24/2009 Tanay Rizal 0 SHP 10 SOCIALIZED HOUSING PROJECT OF PASAY CITY 12/17/2008 Tanay, Rizal 0 SHP 35 Socialized Housing Project of Pasay City 12/17/2008 Brgy. Plaza Aldea 10.0407 SH 89 SOCIALIZED HOUSING PROJECT OF PASAY CITY 12/17/2008 Plaza Aldea, Tanay, Rizal 0 SHP 53 SOCIALIZED HOUSING PROJECT OF PASAY CITY 11/24/2009 Brgy. Plaza Aldea 3.132 SH 447 SOCIALIZED HOUSING PROJECT OF PASAY CITY 12/17/2008 Plaza Aldea 10.04 SH 104 SOCIALIZED HOUSING PROJECT OF PASAY CITY 12/17/2008 Brgy. Plaza Aldea 10.0407 SH 28 Socialized Housing Project of Pasay City 12/17/2008 Brgy. Plaza Aldea 10.0407 SH 117 SOUTHVILLE 1 and 1B HOUSING PROJECT 12/17/2008 Tanay SHP 50 SOUTHVILLE 1 HOUSING PROJECT 12/17/2008 Brgy. Sabutan, Silang 0 SHP 75 SOUTHVILLE 1 HOUSING PROJECT 12/17/2008 Tanay SHP 50 SOUTVILLE 1B HOUSING PROJECT 12/17/2008 Tanay SHP 50 VILLA DE MAVALOR I 7/9/2009 Brgy. Mavalor 14.1779 SH 180 Villa De Mavalor I Subdivision 7/9/2009 Brgy. Mavalor 14.1779 SH 10 Villa De Mavalor I Subdivision 7/9/2009 Brgy. Mavalor 14.1779 SH 89 Villa De Mavalor I Subdivision 7/9/2009 Brgy. Mavalor 14.1779 SH 34 Villa De Mavalor I Subdivision 7/9/2009 Brgy. Mavalor 14.1779 SH 64 Villa De Mavalor I Subdivision 7/9/2009 Brgy. Mavalor 14.1779 SH 20 VILLA DE MAVALOR I SUBDIVISION 7/9/2009 Brgy. Mavalor SH 75 Legend OM - Open Market MCH - Medium Cost Housing EH - Economic Housing SHP/SH - Socialize Housing Project
  • 41. Philippines Solar Energy Opportunity Research for Spanish RE Technology 41 Construction industry is very strong and sustainable. With the FiT in place there would be many construction companies who would offer customers the value of FiT ( a source of income) and install Solar Power Panels as alternate electricity source for these customers. This would become a key differentiator for many construction contractors such as Megaworld, AyalaLand, and FILINVEST etc. The Philippines Homebuilders already have projects in place for Solar Power Panel installations42 . The capacity of these installations ranges from 10 Watt to 5,000 Watt. The cost of such panels is roughly, Php 150,000 to power some lights in your house and electric fan, TV, computer, washing machine, radio. Php 300,000 if required to include a refrigerator. Php 1M if required to include an air-conditioner. BTS and Solar Power A base transceiver station (BTS) or cell site is a piece of equipment that facilitates wireless communication between user equipment (UE) and a network. UEs are devices like mobile phones (handsets), WLL phones, computers with wireless internet connectivity, WiFi and WiMAX gadgets etc. The network can be that of any of the wireless communication technologies like GSM, CDMA, WLL, WAN, WiFi, WiMAX etc. BTS is also referred to as the radio base station (RBS), node B (in 3G Networks) or, simply, the base station (BS). BTS in Mobile Communication A GSM network is made up of three subsystems: The Network and Switching Subsystem (NSS) – comprising an MSC and associated registers. 42 http://www.sibonga.com/philippines-solar-panels-energy.htm
  • 42. Philippines Solar Energy Opportunity Research for Spanish RE Technology 42 The Base Station subsystem (BSS) – comprising a BSC and several BTSes The Operations support system (OSS) - for maintenance of the network. Though the term BTS can be applicable to any of the wireless communication standards, it is generally and commonly associated with mobile communication technologies like GSM and CDMA. In this regard, a BTS forms part of the base station subsystem (BSS) developments for system management. It may also have equipment for encrypting and decrypting communications, spectrum filtering tools (band pass filters) etc. antennas may also be considered as components of BTS in general sense as they facilitate the functioning of BTS. Typically a BTS will have several transceivers (TRXs) which allow it to serve several different frequencies and different sectors of the cell (in the case of sectorised base stations). A BTS is controlled by a parent base station controller via the base station control function (BCF). The BCF is implemented as a discrete unit or even incorporated in a TRX in compact base stations. The BCF provides an operations and maintenance (O&M) connection to the network management system (NMS), and manages operational states of each TRX, as well as software handling and alarm collection. The basic structure and functions of the BTS remains the same regardless of the wireless technologies. For the BTS site to work it needs a supply of electric power in a range of 10 to 30kW, this power is dependent on the area to be covered, the topography of this area, and number of subscribers. The power supply of BTS site should be highly reliable and secure to keep the mobile phone of the subscribers working all the time. Any failure in the supply of any BTS site will lead to loss of GSM signal in the surrounding area and accordingly complaints from the mobile phone subscribers located in that area. It is interesting to realize that the subscribers always select the telecom company that they decide to get their service from according several factors:
  • 43. Philippines Solar Energy Opportunity Research for Spanish RE Technology 43 Price. Quality of signal. Covered area. Service. Hence, availability of reliable and secure power supply is a determining factor. A BTS is usually energized by Diesel – Genset. The Exhibit 17 is a sample comparison of Cost reduction between Diesel – Genset BTS site and Solar Powered BTS site Cost Line Item Cost Diesel - Genset Cost Solar Powered Cost to Buy new Unit $ 18,000.00 $ 60,000.00 Cost of Fuel/year $ 11,100.00 Cost of Oil/year $ 1,200.00 Cost of Preventive Maintenance $ 2,000.00 Cost to buy Spare Back-up unit $ - Cost of Batteries (rectifier) $ 6,000.00 Total cost of Investment in 1st year $ 38,300.00 $ 60,000.00 Opex in 2nd year $ 15,000.00 $ 2,000.00 Opex in 3rd year $ 15,000.00 $ 2,000.00 Opex in 4th year $ 15,000.00 $ 2,000.00 Opex in 5th year $ 15,000.00 $ 2,000.00 Total cost of investment in 6th year $ 98,300.00 $ 68,000.00 Savings $ 30,300.00 Exhibit 17: Projected Sample comparison of Diesel – Genset and Solar Powered BTS Need for Alternative Energy: Moving from Diesel Generator Paradigm  Pollution - Diesel generators used are noisy, dirty and exhaust harmful hydrocarbons into the atmosphere during their operation. The BTS telecom operators are responsible for 2 percent of carbon emission worldwide  Cost – The Diesel generators used for the BTS by the telecom operators are too expensive and accounts for 35 percent of the total cost of ownership (TCO) of a BTS.
  • 44. Philippines Solar Energy Opportunity Research for Spanish RE Technology 44  Unreliable - Diesel-powered BTS sites are notoriously unreliable. These generators can suffer a variety of types of failures and are also responsible for 65 percent of the outages.  Transportation-Getting the diesel fuel to a remote site can be a challenge and transport & install costs are very high.  Limited Shelf Life - The fuel has a limited shelf life and can quickly degrade and build up contaminants and thus the fuel goes wasted.  Theft and Vandalism - Theft and vandalism of generators and fuel also pose significant problems at remote locations. There is considerable number of BTS sites in the Philippines. The major players are Globe Telecom and Smart Communications Inc. The strategy of Spanish Organizations would be to market their technology for these global players and exhibit the cost efficiency in using Solar Powered BTS. Competitor Analysis International Belgian project developer Enfinity is reportedly seeking partners to develop and finance renewable energy projects in the Philippines. The firm will focus on solar and wind projects, and aim to develop 500MW of installed capacity over the next three years. The developments could require around USD1bn in investment. In March 2010, Enfinity raised EUR50m (USD67.9m) in funding from private equity firm Waterland. Earlier this year, the firm teamed up with Energy Conversion Devices to develop rooftop solar installations in Canada. The projects will have a combined capacity of 10MW. In related news, Global Business Power, a subsidiary of Philippines-based Metrobank, could invest between USD250m and USD300m to develop biomass energy and hydroelectric
  • 45. Philippines Solar Energy Opportunity Research for Spanish RE Technology 45 projects in the country. The firm hopes to install 100MW of renewable capacity over the next three years. Vestas Wind Systems Asia-Pacific, a Danish wind power solutions provider will build its second largest IT hub in the country and hire up to 200 local employees by 2011. The local IT hub will house 100 employees by yearend and up to 200 by 2011, from the existing 25. This will make the Philippine IT hub the second largest next to its headquarters in Denmark, said Sean Sutton, the President of Vestas Wind Systems in the region. The Vestas Services Philippines Inc. will be the fourth Vestas main IT center in the world, next to Denmark, Singapore, and USA. It will support Vestas‟ global team with IT operations and back-end support including surveillance, service desk and programming competencies for the operation of 11,500 turbines worldwide in real-time, said Torben Bonde, chief information officer and senior vice president for Vestas Wind Systems. Wind energy comprises about one percent of global power use and is set to grow by 10 percent in Asia by 2020. The location in the Philippines puts Vestas in a strategic position to gain more inroads in the market while lowering energy generation costs in the country Aside from after sales support, the company is also seeking to provide the government‟s power generation target of 417 megawatts by 2013 from wind energy Currently, Vestas have supplied 20 turbines in the wind farms in Ilocos Norte that generates 33 MW of power, which is capable of supplying energy to households up to tens of thousands. The Philippines being an abundant source of wind energy, Vestas plans to scale up and get a significant slice of that 417 MW energy target. Harnessing renewable energy sources like the wind is imperative to meet the fast rising energy demands set to double by 2020 amid the diminishing fossil fuel resources.
  • 46. Philippines Solar Energy Opportunity Research for Spanish RE Technology 46 Compared to oil and gas, energy generation costs using wind turbines are lowered over time because of total megawatts produced over a 20-year operational life cycle of the turbines, which are recyclable. Moreover, wind energy generation does not emit greenhouse gases unlike fossil fuels that has intensified global warming, he said. Vestas is a provider of wind turbines that could generate energy up to 3MW capacity, depending on power requirements and the terrain of the target location. The Northwind Power Development Corp uses Vestas wind turbine-generator units (WTGs) for the site, similar to those already found in Denmark. Over fifty 750kW wind turbine generators will be installed. These will have three vertically oriented rotor blades on top of a 50m-high tubular tower. The nacelle (casing), which encloses the generator, the gear box and the yaw mechanism (which turns the blades into the wind), is at the rear of the rotor blades. UPC Renewables, an affiliate of Italy's UPC Group, is to build a 40-turbine wind farm in the Philippines at a cost of about $480m (£287m). Development on the 80MW project, to be located in Pagudpud town in northern Ilocos Norte province, is to start by end of the year, with the first wind turbines to be erected by early 2010. UPC managing director Troels Carstensen told the local Business Mirror newspaper that project financing will be provided by European export credit agencies and Philippine banks. Carstensen said UPC hopes to reach an agreement with the Ilocos Norte government to provide electricity to nearby residents and also neighbouring provinces. UPC Group already operates 700MW of wind turbine generators in Italy and 300MW in the US. UPC Renewables operates the group's business interests outside of North America.
  • 47. Philippines Solar Energy Opportunity Research for Spanish RE Technology 47 The Pagudpud wind farm will be the second in Ilocos Norte province, following a 33MW facility in nearby Bangui Bay that was established in 2004 by NorthWind Power Development Corp, a joint venture by Filipino and Danish businessmen. It is the country's first commercial on-grid wind farm, providing about half of the province's electricity needs and is verified as a clean development mechanism project under the UN‟s CDM executive board. Denmark's Vestas Wind Systems provided the equipment for the Bangui Bay farm, which cost about $44m to build. Most of the funding was provided through a Danish International Development Agency grant. A 2000 study by the National Renewable Energy Laboratory - part of the US Department of Energy - estimated that the Philippines had the potential to generate up to 70GW of energy from wind power. The Philippine government hopes to have between 200MW and 400MW of installed wind power capacity by 2015. SunPower Solar Wafer Manufacturing Plant Sta. Rosa, Laguna, Founded in 1985, SunPower Corp. (Nasdaq: SPWRA, SPWRB) designs, manufactures and delivers the planet's most powerful solar technology broadly available today. Residential, business, government and utility customers rely on the company's experience and proven results to maximize return on investment. With headquarters in San Jose, Calif., SunPower has offices in North America, Europe, Australia and Asia. SunPower has a full-scale solar cell with a sunlight to electricity conversion efficiency of 24.2 percent at its manufacturing plant in the Philippines. This is a new world record, confirmed by the U.S. Department of Energy's National Renewable Energy Lab (NREL), for large area silicon wafers.
  • 48. Philippines Solar Energy Opportunity Research for Spanish RE Technology 48 Domestic With the advent of the 5th Asia Clean Energy Forum held in ADB Headquarters, Manila, between 23-25th June 2010, local investors are seeking an aggregate financing of $157 million for seven renewable projects. The groups presented their projects on Monday to more than 200 financiers in the second Philippines Clean Energy Investors Forum organized by the CTI Private Financing Network (CTI). CTI is a global partnership that screens business plans and links project proponents to potential investors. The forum‟s objective is primarily to bridge the gap between clean energy project developers, investors and financing institutions. It has established financing networks in the Philippines, China, Indonesia, and India, and has been conducting similar forums in Latin America and Africa. "These investments are geared not just on lowering climate change, but also assure energy sufficiency in the Philippines," said Roger Carlson, acting mission director of the United States Agency for International Development. With adequate financing and proper implementation, various mid-scale projects in power generation and clean transport technology, could boost the Philippines' energy supply while reducing the country's carbon emissions, added Carlson. Business plans on building biogas, biomass, small hydropower plants as well as clean transport initiatives were pitched to financial institutions and clean energy experts. Peter Storey, CTI's global coordinator said the investment priorities in the country are on 3 energy sources - biomass, small hydropower and waste to energy initiatives. The selected projects endorsed for financing are the First Commercial Multi-feedstock Anaerobic Digester in Southeast Asia by SURE; an 18-megawaat Timababan Hydropower
  • 49. Philippines Solar Energy Opportunity Research for Spanish RE Technology 49 Project by Oriental Energy and Power Generation Corporation; e-Taxicle by E Save Transport Systems; 10-MW Pangasinan W@E Gasification Facility by Greenergy Solutions; 10-MW Inabasan mini-hydropower Project by Ormin Power; Philippine Biodiesel Initiative by Eco-Life, and Green Building by Italpinas. These projects passed a 5-month stringent procedure that required proponents to show their project's commercial and technical viability, environmental, and social benefits. CTI said these investments can reduce the Philippines's greenhouse gas emissions by more than 300,000 metric tons a year, which is equivalent to taking half a million cars off the road, and making the country a leader in clean energy projects in the region. "Clean energy is always the way to pursue as it is one of the pillars of energy sufficiency," said Mario Marasigan, assistant secretary of the Department of Energy. The group has recommended more than 30 projects in the Philippines since it was established in early 2009. Of these prospects, 4 have secured financing with investments totaling to $36 million. For E.g. a biomass power plant in La Union Province has been financed. This project is forecast to offset 3,000 tons of CO2 a year that would otherwise be generated by conventional feedstock, which are mainly coal, petroleum and natural gas. “The Philippines has tremendous potential for these types of projects and also has a forward-thinking investor community, so we expect to see more projects secure investment in the near future,” says CTI chairman Elmer Holt. Aurora Special Economic Zone Authority (ASEZA) has been recently awarded with an RE Contract on 25th March 2010. The contract has been approved to installed 1MW capacity of Solar resource. The contact details of ASEZA is
  • 50. Philippines Solar Energy Opportunity Research for Spanish RE Technology 50 ASEZA, Ms Althea Barbara E. Acas Head of Business Development 2/F SSS Makati Bldg, 6782 Ayala Avenue, Makati City, Philippines, 1226 Tel. No. (02) 813-4381 Fax No. (02) 813-3674 Mobile No. 0921-973-2431 Email: althea.acas@aurorapacific.com.ph Solutions Using Renewable Energy (SURE) Eco Philippines Inc., a renewable energy company, is earmarking $90 million for its investments. SURE Eco spokesman Clarence de Guia said the funds will be used for the construction of several biogas-fed power plants. The funding will be a combination of debt and equity. De Guia said they plan to look for financing from banks and from multilateral financial institutions like the Asian Development and World Bank. He said the plan is construct a 30 megawatt (MW) facility, on top of the four biogas/biomass project that they are currently undertaking. The company, together with its joint venture partners, MG Leasing and RLU Group of Companies have already installed a 400-kilowatt waste-to-energy facility in Lipa, Batangas, of the first industrial-scale biogas plants in the province. SURE Eco also tied up with Pepsi Cola Products Philippines Inc. for the construction of a 1.2 MW, rice husk and wood chip-fired cogeneration power plant at a cost of $2.7 million which
  • 51. Philippines Solar Energy Opportunity Research for Spanish RE Technology 51 is expected to be completed in January 2011. This will make Pepsi Cola the first softdrink bottling plants in the country to have a green cogeneration power facility. SURE Eco also has an ongoing 1.2-MW build-operate-transfer project with conglomerate San Miguel Corp. in Vietnam. The company‟s other ongoing projects are in Bukidnon, Nueva Ecija and Laguna. Its projects have a combined capacity of 1.5 MW and will cost more than $3 million to complete. They are also involved in other renewable energy development projects such as solar and mini-hydro. De Guia said, “We have pipeline projects. Long-term, what we want is to have a centralized or a bigger capacity, our thrust is to have the most diversified renewable energy portfolio. We‟re looking at mini-hydro and other forms of renewable energy.” As mentioned earlier in section, Clean Energy Potential in Philippines, CEPALCO has also a 1 MW Solar PV plant, with installed costs close to 5.3 Million US Dollars, using 6,500 solar panels on 2 hectares of land. Financing Options With the government‟s Renewable Energy Act (passed in December 2008) the Philippines renewable energy sector has become very attractive to investors. The area has been identified as a growth opportunity by a number of domestic banks as well. Banco de Oro (BDO) is the latest Philippine bank to team up with the International Finance Corporation (IFC), which will provide the bank with advice on financing renewable energy projects. The agreement follows a similar one between IFC and Bank of the Philippine Islands (BPI), and before that with Metropolitan Bank & Trust (Metrobank).43 43 http://www.reportsandreports.com/market-reports/philippines-infrastructure-report-q2-2010/
  • 52. Philippines Solar Energy Opportunity Research for Spanish RE Technology 52 The International Finance Corporation (IFC) has agreed with Banco de Oro (BDO), the largest commercial bank in the Philippines, to provide advice on financing energy efficiency and renewable energy projects. This deal is the third agreement between the IFC and a bank for energy projects in the Philippines. Under the agreement, the IFC will provide BDO with advice on lending to the domestic private sector to finance sustainable energy projects. The areas where BDO sees potential for investment include renewable energy, energy efficiency and clean development mechanism finance. Clean Development Mechanism is an arrangement under the Kyoto Protocol which allows developed countries to invest in carbon mitigating projects in developing countries. The agreement with BDO follows two prior agreements with Philippine banks for lending to renewable energy. The first was between the IFC and Metropolitan Bank & Trust (Metrobank). The agreement, through which the IFC provided Metrobank with advice on extending loans to independent utilities, started in January 2008 and ended in June 2009 and early in March 2010, a Metrobank led-consortium started operations at its first power plant located in the Visayas area. Metrobank, through its power unit Global Business Power Corp, is also currently eyeing up a power project in the Luzon area. The second agreement is with the Bank of the Philippine Islands (BPI), which was signed in December 2009 and runs for two years. The IFC and BPI signed a risk sharing facility agreement which allows BPI to expand its funding portfolio for sustainable energy projects with the IFC guaranteeing between 50% and 100% of loans extended. BPI has set an initial amount of around US$50mn aside to lend to sustainable energy projects, with the potential to expand this to around US$110mn, according to Philstar reports in December 2009. Prior to the agreement, the bank had provided around US$25mn financing for sustainable energy projects including renewable energy.
  • 53. Philippines Solar Energy Opportunity Research for Spanish RE Technology 53 The increased interest from commercial banks in lending to sustainable energy projects reflects the Philippines potential to become a renewable energy hub in Asia. The country is already second in the world in terms of geothermal energy, behind the US, with over 1,900 megawatts (MW) already installed, according to a recent report by the WWF Philippines and the Philippines Department of Energy into the Philippines' renewable energy sector. The report notes that the potential for renewables is enough to meet energy needs in the country a number of times over. Wind power potential equals 76,000MW, geothermal 4,000MW and biomass 10,083MW. In addition, there are 888 potential small hydropower sites, with the potential to generate 1,784MW. In December 2008, a new law -the Republic Act 9513, which is better known as the Renewable Energy Act - came into force. Heralded as 'the first and most comprehensive renewable energy law in South East Asia' by the Philippines President Gloria Macapagal- Arroyo, as quoted by Power Engineering, the law is targeted at boosting the portion of renewables in the power mix and therefore reducing reliance on expensive imported fuels. The Renewable Energy Act provides fiscal incentives for potential investors in the country's renewable energy such as tax credits, lower taxes on machinery and tax exemption of carbon credits. Another non-fiscal initiative proposed under the act is the implementation of a Renewable Portfolio Standard System, which requires an electricity supplier to have a portion of renewable generating capacity in its portfolio and a feed-in tariff, which is a premium placed on the price of purchasing renewable electricity from the supplier. With a comprehensive law in place, and increased opportunity to access project finance from local banks, the Philippines renewables sector appears very attractive. Manila Standard Today reported that the Asian Development Bank is looking at financing up to USD 1 billion of energy efficiency and renewable projects in the Philippines in the next 5
  • 54. Philippines Solar Energy Opportunity Research for Spanish RE Technology 54 years. Mr Sohail Hasnie ADB principal energy specialist for Southeast Asia Department told reporters during the Asia Clean Energy Forum at the ADB headquarters that the USD 1 billion loan could provide about 1,000 MWs of electricity output and savings from renewable energy and efficiency projects. Mr Hasnie said that ADB would coordinate with the Finance Department and the National Economic and Development Authority in identifying the recipients of the financing, with the bulk to be lent as loans and rest as grants. He added that "We have worked with your government and agencies and we are looking at financing up to a billion dollars with our co financing partners for the Philippines on its energy efficiency and renewable energy programs. We are waiting for the new government for us to engage and align our priorities with their priorities." He did not identify ADB's partners. He said that ADB had had discussions with the Neda for the USD 1 billion financing window. He added that "We can start preparing the feasibility study in a few months' time. May be we can implement it end of next year. If your government will agree, we can do a five-year tranche. You have all the necessary parameters for promoting renewable energy such as high electricity tariff, a lot of renewable energy available, a good regulatory framework and as a net importer of oil." He said the Philippines also needed to reduce its reliance on imported fossil fuel by saving energy through efficiency programs and looking at alternative and indigenous sources such as hydro, wind, geothermal and solar. He added that "We are looking at some hydropower and wind in that portfolio; maybe we'll work with the private sector." He said the USD 1 billion financing can be used for projects such as large scale air conditioning use in public offices by reducing consumption, promotion of efficient refrigerators and electric fans and tricycles using lithium batteries. ADB has received USD
  • 55. Philippines Solar Energy Opportunity Research for Spanish RE Technology 55 125 million in support from the World Bank's Clean Technology Fund for a 100 MW solar power project in the Philippines.44 In a separate interview, Constellation Energy Corp. is considering financing and developing seven “potential” renewable energy projects in the country, according to its top official. Jose P. Leviste Jr., president and chair of Constellation Energy, said these projects included a geothermal power project in Biliran Leyte; a wind power venture in Panglao, Bohol; and five hydropower projects in Visayas and Mindanao. According to Leviste, the company refers to these as “potential” projects because Constellation does not have energy service contract yet, the projects are still under review and that it is still negotiating with project proponents. The Biliran geothermal project belongs to Filtech Energy Drilling Corp. (Fedco), he said. Constellation is expected to provide financial services while Fedco will cover the technical aspect of the project. He said the company was in talks with the electric cooperatives for the five hydropower projects it identified. These are located in Bago, Negros Occidental, the project for which has a 13.2-MW capacity; Salug Daku 2, 6 MW; Salug Daku 3, 2.5 MW; Salug Daku 4, 4 MW, and Magpet hydropower project, 5 MW. Constellation senior VP Annette Manansala-Rafael said the company‟s thrust was to acquire and finance the development of hydro, wind and geothermal power projects, as well as provide technical consulting services and political risk management. “We are focusing on off grid areas. We wanted to contribute to the rural electrification project of the government and our core business in the acquisition, financing, development of 44 www.manilastandardtoday.com, Jun 25 th 2010
  • 56. Philippines Solar Energy Opportunity Research for Spanish RE Technology 56 renewable energy projects. We are into hydro, wind and geothermal projects for now, but we intend to look at solar and biomass (this year),” Rafael said. Currently, Constellation already has two service contracts for wind power projects in Ilog, Negros Occidental, which covers a 2,106-hectare area and in Bayawan-Tanjay-Pamplona, Negros Oriental, covering a 8,019-ha property. Aside from wind energy projects, Leviste said Constellation had three pending applications with the Department of Energy for three proposed hydropower projects. These are in Dupinga, Gabaldon, Nueva Ecija, where the company expects to generate 3 megawatts of hydropower; in Bongabong, Oriental Mindoro, for a 28-MW capacity; and Alag, San Teodoro, Oriental Mindoro, for a 39.5-MW capacity. Leviste however did not cite investment figures, but based on the general rule, a company would need to invest as much as $176 million (or about P8.2 billion at P47 to a dollar) to 70.5 MW of power from the hydro plants.
  • 57. Philippines Solar Energy Opportunity Research for Spanish RE Technology 57 Conclusion It can be seen that there is immense opportunity in the Philippines for Solar Power. Spanish Renewable Energy Organizations should make use of the available opportunity. Given the location of Philippines and the Solar radiation available in the Philippines it is not difficult to harness Solar energy. The challenge is to find the appropriate sites and install the solar generation plant. The Philippines government has been very helpful and supportive of Renewable Energy unlike other developing nations. Given that there are fiscal & non-fiscal benefits as explained in the above analysis and there is a significant target market demanding Solar power, it can be safely said that the Solar Power Generation has reached the tipping point here in the Philippines.
  • 58. Philippines Solar Energy Opportunity Research for Spanish RE Technology 58 End Notes & References National Statistics Board of Philippines, http://www.nscb.gov.ph/ World Bank Data http://databank.worldbank.org/ddp/home.do?Step=2&id=4&DisplayAggregation=N&SdmxS upported=N&CNO=1159 DoE Philippines, http://www.doe.gov.ph/EP/Powerstat.htm World Bank Development indicators 2010 Publication Philippines Census Statistics, http://www.census.gov.ph/data BPO data from BPAP Presentations, http://www.bpap.org/bpap/index.asp?presentations Dialog Asia, Asia summit on Renewable Energy, http://gc21.inwent.org/ibt/alumni/ibt/docs/DIALOG_2_06_As.pdf BCSE Renewable Energy in Asia, http://tiny.cc/gst8e

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