DoE to propose up to 3-year FiT extension for biomass, river hydro

THE Department of Energy (DoE) has drafted a circular that will call for the extension of the feed-in-tariff (FiT) for biomass and run-of-river projects, giving developers a chance to finish their stalled plant construction and avail of the guaranteed rate for their energy output for 20 years.

“We’re looking at three years or until the capacity limit is reached for run-of-river hydro or biomass,” Energy Undersecretary Felix Wiliam B. Fuentebella told reporters, without giving details on when the proposal will come into force.

“There is a draft circular for the extension for three years [for both technologies], whichever comes first — capacity or date,” he added.

Mr. Fuentebella was referring to the installation target of 250 megawatts (MW) for both biomass or small hydro, which was set by the previous administration but was not fully subscribed by the end-2017 deadline.

This time, he said the extension’s deadline would be the full subscription of the installation target or three years, whichever comes first.

Based on the latest DoE data, only five run-of-river hydro projects with a total capacity of 34.60 MW were awarded by the department certificates of endorsement to the Energy Regulatory Commission (ERC) for FiT eligibility as of November, leaving a balance of 215.4 MW out of the 250-MW target. —