Port Upgrades Fuel Hopes For Philippine Offshore Wind Expansion

Port Upgrades Fuel Hopes For Philippine Offshore Wind Expansion

Comment Icon0 Comments
Reading Time Icon4 min read

The Department of Energy (DOE) is moving ahead with port infrastructure upgrades and preparations for its fifth Green Energy Auction (GEA-5), which aims to award 3,300 megawatts (MW) of fixed-bottom offshore wind capacity for projects targeted to begin commercial operations between 2028 and 2030.

DOE Undersecretary Giovanni Carlo Bacordo said the auction remains on track for December, alongside efforts to develop ports capable of handling the heavy equipment needed to construct offshore wind farms.

The Philippine Ports Authority (PPA) has already awarded the development of Pambujan Port in Camarines Norte to a company Bacordo described as having a Chinese name. Meanwhile, the feasibility study for Santa Clara Port in Batangas has been completed, and its development is expected to proceed to bidding within the year.

The port projects are intended to provide offshore wind developers with facilities to receive, store, assemble, and stage turbines and other components before transporting them to project sites.

The upgrades are part of the government’s efforts to address infrastructure constraints that have affected the rollout of offshore wind projects and delayed the auction process.

Key Requirements

The DOE and PPA previously identified three ports for potential offshore wind development: Pambujan in Camarines Norte, Santa Clara in Batangas, and Currimao in Ilocos Norte.

The agencies have prioritized suitably sized and strategically located facilities that can accommodate large wind turbine components and support the construction and eventual operation of offshore wind farms.

Redevelopment of Pambujan Port is estimated to cost ₱4.8 billion, with the site offering potential for future expansion of up to 160 hectares. The DOE previously identified 11 offshore wind energy service contracts that could be served by the Camarines Norte facility.

Batangas, meanwhile, is projected to support around 18 to 22 service contracts, underscoring its potential role as a logistics hub for offshore wind development.

The port projects had previously been expected to become operational by the first quarter of next year. Their progress is considered important to ensuring that developers have the facilities needed to meet project construction schedules.

The DOE has also identified transmission constraints, permitting requirements, environmental clearances, and land-use issues as challenges facing offshore wind development. The agency is also working on market support mechanisms, permitting and tenurial instruments, and the availability of grid assets and interconnection facilities.

These requirements are particularly important for offshore wind projects because their development depends on specialized marine infrastructure and adequate transmission connections to deliver electricity to the grid.

Bids Under Evaluation

The GEA-5 auction is designed to award 3,300 MW of fixed-bottom offshore wind capacity, with winning projects expected to come online from 2028 to 2030.

The Energy Regulatory Commission has set the Green Energy Auction Reserve (GEAR) price at ₱11 per kilowatt-hour for the tender.

The DOE previously received 20 offers for the auction, while nine bids passed the initial stage and are undergoing evaluation. These nine bids represent a combined proposed capacity of 9,256 MW.

Not all offshore wind projects with existing energy service contracts will qualify for GEA-5. Among the requirements are the completion of feasibility studies and system impact studies, which assess project viability and potential effects on the electricity grid.

The DOE has awarded 95 offshore wind energy service contracts representing a potential capacity of 72,332 MW. However, these projects have varying development and delivery schedules, meaning only those that meet the auction’s eligibility requirements can participate.

The contracts are spread across several areas, including Negros and Panay, Southern Mindoro, Guimaras Strait, Manila, Northwest Luzon and Northern Mindoro, alongside other locations nationwide.

Auction Timeline

The DOE announced in July that GEA-5 would be held in December after adjustments to align auction requirements, timelines, and implementation arrangements.

“The feasibility study is already complete. It’s now in the bidding phase, which is also set for this year,” Bacordo said, referring to the Batangas port project.

The auction had faced delays due to several challenges, including geopolitical risks in the Middle East, transmission grid limitations, regulatory hurdles, land-use and environmental approvals, and insufficient port capacity.

Under the current schedule, certificates of award for winning bidders are expected to be issued between February 2 and July 14 next year.

The auction is a key step in translating the country’s growing offshore wind project pipeline into actual generating capacity. However, meeting the 2028-to-2030 commercial operation targets will depend not only on selecting qualified developers but also on completing port upgrades, securing permits, and ensuring that transmission infrastructure is ready to accommodate the additional power supply.

Source:

https://mb.com.ph/2026/10/21/philippines-advances-offshore-wind-push-with-port-upgrades

https://businessmirror.com.ph/2026/10/22/chinese-firm-to-develop-ports

https://www.manilatimes.net/2026/10/22/business/top-business/doe-offshore-wind-auction-on-track-for-december/2451290

Share this article