I. OVERVIEW AND EXECUTIVE SUMMARY
Guided by the overall vision of providing “Energy Access for More,” the 2012-2030 Philippine Energy Plan (PEP) seeks to mainstream access of the larger populace to reliable and affordable energy services to fuel, most importantly, local productivity and countryside development. The energy sector, mindful of its role in promoting better quality of life for the Filipino people, will ensure the delivery of secure, sustainable, sufficient, affordable and environment-friendly energy to all economic sectors. In pursuit of this goal, the government will mobilize private sector participation and involvement of other stakeholders to make power of choice a reality.
ENERGY REFORM AGENDA
The ERA has outlined the following major pillars as its overall guidepost and direction: (a) Ensure energy security through the development of indigenous energy such as renewable energy and hydrocarbon fuels (oil, gas, and coal); (b) Achieve optimal energy pricing in electricity and oil; and, (c) Develop a sustainable energy system through the formulation and update of national plans and programs on energy development, which are consistent with the country’s economic development plans.
The 2012-2030 PEP is crafted with due consideration and premium on the economic parameters sourced from the National Economic and Development Authority (NEDA), Development Budget Coordination Committee (DBCC), National Statistics Office (NSO) and international references on energy such as the World Energy Outlook of the International Energy Agency (IEA). For the medium-term, the 2012-2030 PEP is basically anchored on the policy framework set in place with the formulation of the Energy Reform Agenda (ERA). The ERA is consistent with national development directives such as the President’s Social Contract and the 2011-2016 Philippine Development Plan; and, responsive to long-term (beyond 2016) global policy frameworks on energy such as the UN Sustainable Energy for All Initiative and the APEC Green Growth Goals.
- The President’s Social Contract
The PEP is guided by the President’s Social Contract with the Filipinos. The plans and programs of PEP are responsive to the Social Contract’s pillars: a) Anticorruption/ transparent, accountable and participatory governance through our energy contracting rounds, Information, Education and Communication (IEC) and public consultation activities; b) Poverty reduction and empowerment of the poor through our programs on rural electrification, energy efficiency and conservation, and the provision of benefits to host communities; c) Rapid, inclusive and sustained economic growth through basically all our programs especially in improving the supply of energy products and services (both oil and electricity) nationwide to fuel the businesses and spur countryside development; d) Just and lasting peace and the rule of law starting with the efforts of the Department of Energy (DOE) in developing regional energy plans such as the Mindanao Energy Plan (MEP) to serve as the region’s energy roadmap; e) Integrity of the Environment and Climate Change Mitigation and Adaptation with our accelerated programs on energy efficiency, renewable energy and alternative fuels; and, f) Gender Development, which is integrated in relevant plans and programs.
- Philippine Development Plan (PDP) 2011-2016
The energy sector contributes to the PDP’s goals of promoting inclusive growth and poverty reduction. The PEP programs on ensuring energy supply security and providing energization to the countryside are integral components of the national infrastructure development agenda as contained in the PDP. These energy commitments will support the PDP’s targeted outcomes of enhancing the country’s competitiveness, reducing gaps in basic services, and improving environmental quality.
- UN Sustainable Energy For All Initiative Development
is the biggest contributor of greenhouse gas (GHG) emissions, accounting for about 49.0 percent of the world’s total, the PEP contains the policies, plans and programs that will significantly contribute to the country’s transition towards a low carbon economy – an economy that generates minimal output of GHG emissions into the biosphere.
In December 2010, the United Nations General Assembly declared the year 2012 as the International Year of Sustainable Energy for all. This global initiative engages the support of all governments, the private sector and civil society in ensuring universal access to modern energy services, double the global rate of energy efficiency by reducing energy use (14.0 percent) in 2030, double the share of and/or increase the share of renewable energy in the global energy mix from the current share of 15.0 percent.
- ASEAN Plan of Action for Energy Cooperation (APAEC) 2010-2015
The PEP supports and contributes to the regional action plans and targets as espoused in APAEC 2010-2015. APAEC is the regional framework of energy cooperation highlighting the role of energy under the ASEAN Economic Community Blueprint 2015. It aims to enhance regional energy security and sustainability through aggressive implementation of action plans of the different program components – (1) ASEAN Power Grid; (2) Trans-ASEAN Gas Pipeline; (3) Coal and Clean Coal Technology; (4) Renewable Energy; (5) Energy Efficiency and Conservation; (6) Regional Energy Policy and Planning; and, (7) Civilian Nuclear Energy.
Among the regional targets set in APAEC to be achieved in 2015 are: (a) 8.0 percent (aggregate) energy intensity reduction based on 2005 level; and (b) increase share of renewable energy resources to total installed power generating capacity of the region by 15.0 percent.
- Asia-Pacific Economic Cooperation (APEC) Green Growth
This Plan also adheres to the APEC Green Growth Goals which include the following: a) rationalization/phase out of inefficient fossil-fuel subsidies that encourage wasteful consumption; b) reduction of aggregate (regional) energy intensity by 25.0 percent in 2030 and 45.0 percent in 2035 (based on 2005 level) as aspirational goal; c) promote energy efficiency; and, d) incorporate low-emissions development strategies to economic development plans, among others