By No less than Department of Energy Secretary Raphael Lotilla has said that gas is expensive. Yet the government has chosen to pursue the path of gas as a “bridge fuel” in transitioning to a fully renewable energy-powered grid. The argument goes that gas is cleaner than coal and is needed to power the country’s grid, which is projected to need 8,000 megawatts (MW) more in generation capacity by 2028.
The truth is that gas is not the way to achieve this. The DOE’s Green Energy Auction Program already has 5.5 GW of new renewable energy sources set to come in. There can be more if only the government will scale up its ambitions beyond the 35% share of renewable energy by 2030 outlined by President Marcos in his SONA.
But what is wrong with gas complementing renewable energy? The most immediate reason is cost. Secretary Lotilla is not wrong: gas is indeed expensive. South Premiere Power Corporation (SPPC) charged Meralco consumers more than P8 per kilowatt-hour in May for electricity from its Ilijan gas power plant. The cost of renewable energy sources? As low as P3 per kilowatt-hour. The difference is staggering. And renewable energy is unaffected by volatility brought by crises and wars that normally introduce exorbitant price increases to fossil fuels like gasoline, coal, and gas. All power comes from local sources, doing wonders for our energy security.