The Philippines enjoys a sizeable amount of sunshine. In fact, the country can harness the sun’s power as its radiation across the country has a power generation potential of 4.5 to 5.5 kWh per square meter per day.
With that, every on grid private household and company can utilize the power of the sun with solar panels on their own roofs. This paves way to the introduction of the Net-Metering scheme. The scheme represents the first step of a paradigm shift from the traditional generation-transmission-distribution scheme towards individual and community based distributed on-site power generation.
The Net-Metering is the first non-fiscal incentive mechanism fully implemented under the Renewable Energy (RE) Act of 2008. Through the installation of solar photovoltaic (PV) panels up to 100 kW, house owners and commercial establishments can now partly satisfy their electricity demand by themselves.
Excess power generated from the solar PV installation will be delivered to the local distribution grid of the electric distribution utility and will be used to offset the end-user’s electricity consumption. In other words, end-users become “prosumers” or producers and consumers of electricity at the same time. In effect, end-users are able to generate savings on their electricity bill and protect themselves against rising electricity prices.
What is even greater to this cause is that end-users can help mitigate the effects of climate change through the use of clean energy technologies. It will also contribute in lessening the country’s dependence on costly imported fossil fuels.
Thus, the Department of Energy lauds the different RE stakeholders for coming together and publishing the “Net-Metering Reference Guide: How to avail of solar roof tops and other renewables below 100 KW in the Philippines.” Through this informative reference, the energy sector supports the consumers who wish to invest in solar roof tops.
It is with great confidence that this guidebook will help electric consumers make informed decisions over the installation of solar roof top, and take advantage of the benefit of the net-metering scheme. The DOE is optimistic that soon enough thousands of roofs nationwide will be fitted with solar installations and harness the unlimited, free energy from the sun. As we all know, it’s more sun in the Philippines.
Preface and Acknowledgments
GIZ has a long history of promoting solar energy in the Philippines dating back to the 1990s supporting the establishment of the UP Solar Lab and many off grid solar projects, for example with solar water pumps. So the development of this “Net-Metering Reference Guide” fits in well with our past and current activities which are based on the concept of sustainable development.
In the context of “renewables – Made in Germany” GIZ implements its Project Development Program(PEP) with partners in the Philippines in three pillars: Information exchange, business partnerships and the development of conducive framework conditions for the deployment of renewable energies.
Since the inception of “renewables – Made in Germany” in April 2011, GIZ has organised many activities jointly with the German-Philippine Chamber of Commerce and Industry and the European Chamber of Commerce of the Philippines and enterprises in Germany and in the Philippines, including business trips ofsolar companies and the organization of the annual German Solar Training Weeks. GIZ also supported the development of the net-metering rules and interconnection standards which were finally approved in July 2013. It is now time to disseminate the opportunity this regulation brings for every grid electricity customer in installing a solar PV and other renewables. To this effect GIZ in cooperation with DOE organized a multi stakeholder effort to publish this guide which is meant to serve as a reference for consumers who wish to participate in net-metering.
We would like to thank Carlos Jericho Petilla, Secretary DOE, Pete Maniego, Chairman NREB and the contributors who have made this guide possible: Mario Marasigan, Director DOE REMB; Aty. Ranulfo Ocampo, President PEPOA, Chairman NREB Sub-Committee on Net-Metering; Anna M. Reodica, Senior Manager Utility Economics, MERALCO; Jessie L. Todoc, Country Manager Philippines, International Copper Association Southeast Asia Ltd.; Dipl.-Ing. (FH) Christian Brennig; Dipl.-Ing. (FH) Tatiana Abarzúa;Dipl.-Ing. (FH) Sebastian Stein; Tetchi Capellan, President PSPA; Silver Navarro, Jr. - Renewable Energy &Financing Consultant; Noel Verdote, IFC SEF Program and Rustico Noli De La Cruz, Assistant Vice President,Development Bank of the Philippines.
We would also like to thank the following companies for sharing information about solar PV installations in the Philippines: MATEC, Solarus Partners Inc, UNI Solar Inc, Greenheat Corporation, CEnAG Solar, and Meister Solar Power Solutions Corp.
We wish that this reference guide will entice thousands of electricity customers to generate their own electricity with quality installations and to take advantage of the net-metering rules.