Philippines to Repurpose Three Ports for Offshore Wind Projects

September 24, 2024, by Adnan Durakovic

The Department of Energy of the Republic of the Philippines (DOE) and the Philippine Ports Authority (PPA) have jointly announced the repurposing of three strategic ports to support the country’s growing offshore wind industry.

These are the Port of Currimao in Ilocos Norte, Port of Batangas in Sta. Clara, Batangas City, and Port of Jose Panganiban in Camarines Norte.

The PPA has formally expressed its full support to the DOE to initiate the detailed engineering designs and take immediate steps to repurpose three priority ports to ensure that they are fully equipped to handle the installation, commissioning, and operational requirements of offshore wind projects.

”The modernization of port facilities will not only accelerate OSW projects but also play a critical role in securing the country’s clean energy future and promoting economic growth,” Energy Secretary Raphael P.M. Lotilla said.

The DOE has identified the three ports as critical to offshore wind development, given their proximity to high-potential offshore wind energy service contracts (OWESCs).

Positioned near 13 OWESCs, the Port of Currimao supports a potential total capacity of 9,489 MW, with three service contracts already in the advanced pre-development stage while the Port of Batangas is located close to 29 OWESCs with a combined potential capacity of 24,300 MW. Six of these projects are in the advanced stages of pre-development, including permitting, licensing, and data gathering, the DOE said. The Port of Jose Panganiban, on the other hand, is situated near 14 OWESCs with a potential capacity of 8,150 MW, with two projects in the advanced pre-development phase.

“In recognition of the critical role that port infrastructure plays in the successful delivery of OSW energy projects, we are pleased to inform you that the PPA will be responsible for the feasibility study and infrastructure development of these identified ports, PPA GM Jay Santiago emphasized in a letter to the DOE,” PPA General Manager Jay Santiago said.

Secretary Lotilla added that these ports will serve as vital logistical hubs throughout the lifecycle of offshore wind projects, from installation to commissioning and decommissioning. Upgrading these facilities ensures that the Philippines is ready to accommodate the increasing demands of offshore wind projects, which are expected to deliver significant contributions to the country’s energy security and economic stability.

“By modernizing these strategic ports, we are not only addressing the immediate needs of OSW development but also laying the foundation for long-term job creation and sustained growth in the renewable energy sector,” Lotilla said.

The initiative comes shortly after it was announced that the Philippine government plans to begin a bidding process for offshore wind projects by the end of this year.

Project Developers Welcome Port Infrastructure Upgrades

BuhaWind Energy Philippines, the joint venture between Copenhagen Energy and PetroGreen Energy Corporation, has applauded the announcement and acknowledged the commitment from the Philippine government.

Jasmin Bejdić, CEO of Copenhagen Energy, said: ”Over the last four years, CE and our partners from PetroGreen, have been engaged in a constructive dialogue with the representatives from the DOE and the PPA, and we applaud them for this important step in advancing offshore wind in the Philippines. Commitment on the selection and repurposing of the three ports is part of a series of recent positive developments, such as the announcement on the upcoming offshore wind Green Energy Auction expected in Q2-2025 and the NGCP’s grid extension plans.”

Among the three ports, Currimao Port in Ilocos Norte will play an essential role in the construction and operation of the 2,000 MW BuhaWind offshore wind farm in Northern Luzon, the JV said.

This project is among the most advanced offshore wind developments in the Philippines to date and is expected to contribute to substantial direct and indirect jobs in the region, estimated at 24,000 over a two-year construction phase and thirty-year operational period.

Additionally, BuhaWind is developing two other projects with expected capacity each of 1,000 MW in Northern Mindoro and East Panay.

The second priority port – Sta Clara in Batangas – can serve BuhaWind’s Northern Mindoro project, contributing 1,000 MW of green electricity to the region.

Francisco G. Delfin, Jr. President & CEO of PetroGreen Energy Corporation, said: ”Repurposing these ports is a game-changer for the Philippine offshore wind industry. The Currimao Port’s involvement in the BuhaWind project is crucial for establishing the Philippines as a significant player in the regional and global offshore wind market.”