The power consumption in the Philippines is expected to grow at a compound annual growth rate (CAGR) of 5.8 percent from 82.5TWh in 2020 to 145.1TWh by 2030.
Philippines government plans to increase its installed power capacity from 27.6GW in 2020 to 58.4GW in 2030. Most of the installed capacity is expected to be sourced from thermal power and renewable (excluding hydro) power, says GlobalData.
Philippines plans to increase its renewable power capacity from 5.3GW in 2020 to 22.2GW by 2030. It also plans to increase thermal power capacity from 18.4GW in 2020 to 30.7GW by 2030 driven by coal fired thermal power plants.
The power demand in the country is expected to be driven by multiple factors including the rapid industrial growth and increased residential power demand. The government is implementing plans like Total Electrification Program (TEP) for total electrification by 2022.
Since Philippines does not import electricity, it needs to rapidly develop its total power capacity to sustain this growing power demand.
The government plans to increase its solar PV deployment, which will help to reach its target capacity of 15.3GW by 2030 as per National Renewable Energy Program (NREP) 2018-2030.
GlobalData estimates that the Philippines will increase its solar PV capacity from 2.16GW in 2020 to 15.29GW in 2030. Even under its new Philippine Energy Plan (PEP) 2018–2040, the government has announced its NREP 2020-2040 (draft), where it plans to add 11,070MW of new solar capacity, Aditya Sharma, Power Analyst at GlobalData, said.