QUEZON CITY, Oct. 31 (PIA) — Department of Energy (DOE) issued a statement explaining the Circular allowing 100% ownership of foreign investors of large scale geothermal projects.
“Foreign companies may now be allowed to participate in large-scale geothermal exploration, development, and utilization activities, under the third Open and Competitive Selection Process (OCSP3) in the awarding of RE Service Contracts,” the statement read following the conditions that foreign investors to meet before they would be allowed to participate.
(1) it should be large-scale, with a minimum investment cost of about US$50 million, and
(2) (2) it should be under Financial and Technical Assistance Agreement (FTAA) as provided under the Constitution.
In its determination to push for more renewable energy resources in the country, the energy department opened the competition for exploration and development of geothermal resource among foreign investors and Filipino corporations and one with the best offer will get the renewable energy contract.
“The exclusive right to develop a geothermal resource will be granted through an Open and Competitive Selection Process (OCSP). In this process, all proponents, whether foreign or Filipino corporations, will have to compete,” the statement further reads. (MTQ/PIA-IDPD with additional information from DOE)
Source: Philippines Information Agency (pia.gov.ph)
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