Waste-to-energy projects up for grabs in 2026
The Department of Energy (DOE) hopes to get more investor support for its waste-to-energy (WTE) push with the launch of a special bidding round in early 2026.
In a statement on Thursday, the agency said the “special green energy auction” would happen in January.
This will mainly focus on WTE projects that will source their waste feedstock within Metro Manila and highly urbanized cities (HUCs), with completion set by the fourth quarter of 2027.
WTE is the process of converting nonrecyclable waste into electricity or fuel.
The energy department will issue the notice of auction and terms of reference within October.
Citing 2024 data from the National Solid Waste Management Commission, the capital region and HUCs generate an estimated 6.12 million metric tons of solid waste, with a potential 335 megawatts of baseload power capacity.
Meanwhile, another auction round will be conducted for biomass and WTE technologies by the second quarter of next year. For this, the DOE intends to open the bidding for proposed projects nationwide.
“As an emerging renewable energy technology, WTE project development is one of the country’s strategies to address solid waste management, serve as flood control mitigation and provide additional clean energy,” it said.
Power infrastructure
Makati Business Club (MBC) earlier urged the government to classify WTE developments as power infrastructure to increase investor interest in the sector.
“For these projects to be financially viable, the electricity they generate must also be sold at fair and predictable prices. Recognizing WTE as part of the country’s energy infrastructure, and not only as a waste disposal method, is key to improving project feasibility,” MBC said in its previous policy note.
High costs also remained “a key barrier” for WTE to take off, as many LGUs still see landfilling as the “cheaper option,” it said.
“Encouraging LGUs (local government units) to cluster or coordinate can help pool waste supply and improve project scale,” it said.
