Solar group urges DOE to resolve FIT issues

THE Philippine Solar Power Alliance (PSPA) has urged the Department of Energy (DOE) to resolve the issues on oversubscription and awarding of feedin tariff ( FiT) rates.

FiT rates are a form of incentive given to renewable energy developers in the form of a fixed rate paid by the government for their energy output. It is reflected in the power bill of consumers as a FiT allowance.

PSPA president Tetchi Capellan told reporters on the sidelines of a Senate hearing on Thursday that her group has submitted a position paper to DOE Secretary Alfonso G. Cusi and that the DOE has already created a group to conduct an investigation.

Capellan said the PSPA wants two issues resolved. “First issue is that there are solar companies that are given an allocation but their dispatch is not equal to or way below the given allocation. For example, I’m giving you 50 MW [megawatts] but you are only dispatching 20 MW or I gave you 25 MW but you dispatched zero. That’s one issue,” she said.

“The other issue is because of the race on who can dispatch first, a solar company has received the award even if it dispatched [power] after the deadline, while the others dispatched before the deadline but did not get an award,” she said.

“There are allegations that some solar companies get a FiT award but are not consistent with the records. They are dispatching little electricity and some were late in [regard to] the deadline. The problem with all these allegations is because we do not have the exact date,” Capellan said.

She said the DOE told her group that they will finish the investigation within 45 days or by the end of October.

Capellan said that two weeks ago, the DOE interviewed PSPA together with other solar companies and that it has also asked the Energy Regulatory Commission (ERC), the Philippine Electricity Market Corporation (PEMC), and the National Grid Corporation of the Philippines (NGCP) to shed light on the matter.