Gov’t sets terms for wind energy maiden auction

The Department of Energy (DOE) has formally launched the country’s first-ever offshore wind–exclusive green energy auction (GEA), marking a new push to tap the vast power potential off Philippine shores.

In a statement on Tuesday, the agency released the Notice of Auction (NOA) and the full Terms of Reference (TOR) for the program’s fifth bidding round, setting the stage for developers to vie for capacity under the landmark initiative.

“This auction pushes offshore wind from potential to reality,” Energy Secretary Sharon Garin said. “With clear rules, milestones and dedicated infrastructure planning, developers can now move from early studies to bankable projects.”

The latest round, known as GEA-5, will offer 3,300 megawatts (MW) of fixed-bottom offshore wind capacity for delivery between 2028 and 2030, marking the Philippines’ most significant step yet toward integrating large-scale offshore wind into the national power mix.

According to the DOE, the TOR details all qualification requirements, evaluation metrics, timelines, infrastructure obligations and processes that developers must meet to participate.

Officials said the final rules were shaped through extended coordination with government agencies and industry groups.

The DOE said the updated TOR introduces several refinements designed to ensure readiness and reliability as offshore wind development scales up.

The latest round is limited to fixed-bottom offshore wind projects, reflecting what the agency described as the current capacity of ports and the transmission system.

The rules also set a 20-year supply delivery period, with green energy tariff payments to begin only once a project is commissioned and registered with the Wholesale Electricity Spot Market.

A strengthened offshore wind infrastructure plan forms a core part of the TOR, laying out detailed expectations on grid connection studies, port availability, logistics planning and project milestones.

The DOE also clarified how ports will be allocated and scheduled, including rules on queuing, time-of-use and penalties, if developers contribute to bottlenecks or delays.