The Philippine Department of Energy (DOE) has suspended all activities under the fifth Green Energy Auction (GEA-5) round, putting the bidding for incentives covering up to 3.3GW of fixed-bottom offshore wind capacity on hold, according to Splash247. The winners were scheduled to be announced this month.
Recalibration and Implementation Issues
The DOE stated that the suspension would allow it and other government agencies to recalibrate the auction, considering implementation issues that could affect project delivery. These include port readiness, permitting requirements, environmental and port-related costs, and possible global supply chain disruptions, including those arising from the conflict in the Middle East, the agency said. The recalibration will align the round’s requirements, timelines, and implementation parameters with actual infrastructure readiness, regulatory requirements, and prevailing project development conditions.
Auction Bidders and Reserve Price
Under the Green Energy Auction program, renewable energy developers compete for long-term incentivised power rates by submitting bids at or below the Green Energy Auction Reserve prices set by the Energy Regulatory Commission (ERC). For offshore wind projects under GEA-5, the ERC set the reserve price at 11 pesos ($0.18) per kilowatt-hour. The DOE reported last month that nine companies had passed the initial qualification review, out of more than 20 firms that submitted bids.
Offshore Wind Potential in the Philippines
Despite its large offshore wind potential, the Philippines has yet to install a commercial offshore wind project. The DOE estimates the country’s offshore wind technical potential exceeds 178GW. The agency has awarded 95 offshore wind service contracts representing more than 72GW of potential capacity. However, as of end-March 2026, the country had only 450MW of installed on-grid wind capacity, all of which is onshore, equivalent to 1.4% of total installed generating capacity, according to DOE data.
Renewable Energy Targets
The DOE expects offshore wind to help raise the share of renewable energy in the country’s power generation mix to 35% by 2030 and 50% by 2040. The table below summarises key statistics:
| Indicator | Value |
|---|---|
| Auction round suspended | GEA-5 |
| Capacity in auction | 3.3GW fixed-bottom offshore wind |
| Reserve price | 11 pesos/kWh ($0.18/kWh) |
| Companies passing initial review | 9 (out of >20 bidders) |
| Estimated offshore wind potential | >178GW |
| Offshore wind service contracts awarded | 95 (72GW potential) |
| Current onshore wind capacity (Mar 2026) | 450MW (1.4% of total capacity) |
| Renewable energy target (2030) | 35% of power generation mix |
| Renewable energy target (2040) | 50% of power generation mix |
"The suspension would allow the DOE and other government agencies to recalibrate the auction, considering implementation issues that could affect project delivery." — Philippine Department of Energy, as reported by Splash247.
The suspension marks a setback for the Philippines' offshore wind ambitions, with no commercial offshore wind projects yet installed. The recalibration aims to address infrastructure and regulatory gaps before proceeding with future auction rounds.
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