Goal: Reliable homegrown power through deeper Asean ties
As the war in the Middle East drags on, causing erratic price and supply movements, Southeast Asian countries are scrambling to build a stronger shield from these volatilities through massive fuel and power investments. And members of the Association of Southeast Asian Nations (Asean) are not just tending to their home soil, as key power executives from the public and private sectors across the region also gear up to extend relief.
This goal was echoed in a series of discussions at the recent 44th Asean Ministers on Energy Meeting in Metro Manila, which put the spotlight on mechanisms for beefing up energy connectivity, petroleum security, and clean energy.
“No country can insulate itself entirely from global events. But Asean can become more capable of absorbing shocks, supporting one another when they come, and relying more confidently on the resources and capabilities within our own region,” Eenergy Secretary Sharon Garin said.
“In times of stability, cooperation allows us to grow together. In times of crisis, it should give every member state the assurance that its neighbors will be there. That, to me, is at the heart of Asean energy security,” she said.
Regional oil reserve
Since the bombing attacks in the Middle East have crippled fuel flows for some period, leading to soaring prices, Asean is now dead set on constructing a crude oil stockpiling facility—a development that can put the Philippines in the center.
Backing this vision is Japan, with a study now underway to assess the Philippines’ capacity to become “a regional stockpiling location.”
“Japan is working with us… to facilitate all the preparatory work that’s needed before we even construct or decide on the project,” Garin said.
Aside from Japan, the country has also gained Saudi Arabia and the United Arab Emirates’ interest to boost oil stockpiling in Asia.
Garin noted that the current administration’s efforts to build its own national reserve are being led by the state-run firm Philippine National Oil Co. Earlier, the official said an investment of about P30 billion may be needed to pursue the launch of the country’s first strategic petroleum reserve program.
Massive electricity system
At the start of the war in the Middle East, the Philippines, which heavily relies on petroleum imports, including its neighboring countries, raced to secure new deals with suppliers to increase its local inventory.
The organization’s planned power grid has likewise seen major headway. Although Indonesia is the lone Asean member that has yet to sign the agreement, Garin said that the former formally conveyed its intention to finally approve the proposed $764-billion regional infrastructure initiative meant to physically link the electricity systems of all member states.
“They have already manifested officially and on record that they have the intention to sign the enhanced memorandum of understanding,” she said.
The Department of Energy (DOE) said in June that it was fast-tracking efforts for the possibility of rolling out links with Indonesia through mainland Mindanao, as well as Tawi-Tawi, Sulu, and Basilan under the Asean Power Grid.
Nuclear dream
There is an ongoing feasibility study for power lines linking Laos, Thailand, Malaysia, and Singapore. Planning for Phase 2 of the interconnection, covering Brunei, Malaysia, Indonesia, and the Philippines, is in the works.
“I look forward to the day when throughout the Asean, hydropower from one neighbor’s mountains lights a hospital across the border, or during the day when solar power from one island energizes the house of a neighbor economy so children can study at night. Every interconnection brings that day closer,” she said.
As the economy expands, so does the country’s power use.
Aside from growing enthusiasm for renewable energy assets, the government seeks to further diversify the local electricity generation mix by welcoming nuclear energy facilities.
No matter how controversial the technology was during the late Marcos Sr. regime, the government is optimistic it will finally activate the first kilowatts in 2032.
Talks on this matter were also highlighted on the sidelines of the 4th Asia Zero Emission Community Ministerial Meeting, where the Philippines and Japan signed a memorandum of cooperation to strengthen the former’s preparations for nuclear development.
Under the pact, the DOE and Japan’s Ministry of Economy, Trade, and Industry will establish a joint working group to identify priority cooperation activities, monitor progress, and facilitate technical exchanges.
Garin said that a feasibility study conducted by South Korea’s Korea Hydro & Nuclear Power Co. Ltd. showed “positive” results about the possibility of reviving the decades-old Bataan Nuclear Power Plant, which was never commissioned due to safety concerns.
Now, the hunt for public support is expected to intensify. And companies wanting to be the first to build nuclear sites can submit their application.
Such long-term fixes may be in sight for recurring power issues, as the Philippines dives into deeper ties with its neighbors.
