Philippines Solar Power Growth Status and Future Outlook
- Yen Roxas
- Nov 12, 2024
- 2 min read
1. Early 2000s (2000-2010)
Solar power had minimal usage, largely limited to pilot projects and small, off-grid systems in rural areas.
Solar represented less than 1% of the total energy mix, as the Philippines relied heavily on coal, oil, and some geothermal and hydropower sources.
2. 2011-2015: Initial Growth Phase
With the passage of the Renewable Energy Act of 2008, incentives such as Feed-in Tariff (FiT) rates helped to promote solar investment.
By 2015, solar power had grown to about 0.1-0.5% of the country’s energy mix, mainly due to small installations and new solar farms entering the scene.
3. 2016-2019: Rapid Expansion
Solar power capacity saw substantial growth, especially as utility-scale solar farms became more common.
By 2019, solar had reached roughly 2-3% of the country’s total energy capacity, driven by government policies, the FiT system, and falling costs of solar panels.
4. 2020-2023: Solar Scaling Up
Despite pandemic disruptions, solar power continued to grow, reaching about 4-5% of the total installed capacity by 2023.
Net metering programs allowed residential and commercial sectors to adopt solar power more broadly.
The Department of Energy announced ambitious renewable energy targets, aiming for 35% renewables by 2030 and 50% by 2040, with solar expected to play a significant role.
5. Current Status and Future Outlook
As of the most recent data in 2023-2024, solar power’s installed capacity is over 5% of the Philippines' total energy capacity.
With planned utility-scale projects, rooftop solar growth, and continued government support, solar is expected to rise significantly, potentially reaching up to 20% of the energy mix by 2030 if current trends continue.
The Philippines' commitment to expanding its renewable energy portfolio, combined with decreasing costs and increased awareness of sustainable energy, suggests a promising future for solar power in the country's energy landscape.
