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For inquiries, please contact:

Loreta G. Ayson, CESO I


Undersecretary

Jesus T. Tamang
Director, EPPB

Carmencita A. Bariso
Asst. Director, EPPB

Michael O. Sinocruz
Chief, Planning Division

Department of Energy
Energy Center, Rizal Drive corner 34th Street
Fort Bonifacio, Taguig City 1632
Tel. Nos: 840-2288: 840-1780: 479-2900 local. 223, 410, 288
Philippine Energy Plan
2012-2030

i
TABLE OF CONTENTS

Message from the Senator ii


Message from the Secretary iii
List of Tables and Figures iv

I OVERVIEW AND EXECUTIVE SUMMARY 1



II ENERGY SUPPLY AND DEMAND
A. Energy Situationer, 2011 13
B. Philippine Energy Outlook, 2012-2030 27
III ENERGY RESOURCE DEVELOPMENT
A. Fossil Fuels 40
B. Renewable Energy 49

IV DOWNSTREAM SECTOR DEVELOPMENT
A. Oil Industry Deregulation 67
B. Natural Gas Industry Development 79
V POWER SECTOR
A. Power Development Plan 86
B. Transmission Development Plan 101
C. Missionary Electrification 108
D. EPIRA Developments 118
VI SOCIALLY RESPONSIVE PROGRAMS
A. Expanded Rural Electrification 125
B. Benefits to Host Communities 130
C. Alternative Fuels 132
D. Energy Efficiency and Conservation 141
E. Energy and Climate Change 150
VII INTERNATIONAL ENERGY COOPERATION 155
VIII INVESTMENT PORTFOLIO 163

Department of Energy Officials 174
List of Acronyms 175
List of Units of Measurements 180
Conversion Table 181

ii i
MESSAGE FROM THE SENATOR MESSAGE FROM THE SECRETARY

In creating an enabling environment towards the countrys Addressing the conditions of high economic growth, volatile
viable and sustainable development, it is crucial that government energy prices and growing environment concerns, the the
improves the countrys access to energy. With the possibility of Department of Energy (DOE) is honored to be the vanguard in
energy shortages in the coming years, the consequences of not formulating policies and plans that will ensure adequate and
taking actions to address potential supply shortfalls would expose reliable supply of energy in all aspects of development. Toward
consumers and businesses to unacceptable risks, posing a big this end, the DOE envisions a scenario of energy diversification,
challenge to the countrys fragile economy. highlighting the deployment of clean energy and demand side
management leading to a low carbon future.
Thus, efforts are on-ground to provide a healthy mix of renewable
energy and conventional fuels in the countrys primary energy mix. The Department also looks after the continuity of energy
This will signal the countrys readiness to support its economic programs to sustain the progress of achieving its plans and
platform in the long-term. programs to complement the current energy situation, even
though institutional changes occur in the energy sector. Thus, at
Likewise, government is mandated to develop and establish the onset of the Aquino Administration in 2010, the DOE initially
ambitious long term energy goals that will ensure accessibility and crafted the Energy Reform Agenda (ERA) with the guiding vision
availability of energy supply over the next 20 years. Thus, the Philippine Energy Plan 2012-2030 of providing Energy access for more in an environment of transparency and good governance.
was launched to serve as the roadmap for a dramatic scaling up of countrys energy plans and The ERA is anchored on the overall goals of ensuring energy security, achieving optimal energy
programs to meet todays urgent energy challenges. The Plan ensures the optimum development pricing and developing a sustainable energy system. Beyond ERA, the Department formulated the
and use of the countrys clean and alternative fuels, alongside the conventional energy resources Philippine Energy Plan 2012-2030 to support the long-term transformation of the countrys energy
that remain indispensable in meeting the countrys energy independence goal. future towards sustainable development.

We in Congress believe that close collaboration between government and the private sector will The PEP 2012-2030 embodies the countrys major plans and programs, the prudent assessment
provide the necessary impetus in harnessing the countrys energy resources. Said partnership of energy trends and development, as well as the action agenda to respond to emerging and
should pursue innovations in energy technologies, diversification and expansion of energy foreseen energy challenges and issues within the planning period. Strategies are defined to address
production, promotion of environmental and safety consciousness, as well as promotion of social significant challenges such as continued vulnerability to energy supply disruptions, volatility of oil
welfare of the Filipinos. prices in the world market and mitigating environmental consequences. The Plan focuses on the
ramped-up development of renewable energy, accelerated indigenous energy resource exploration,
Despite the challenges ahead, through renewed zeal and dedication of everyone, we can propel our diversification of energy supply sources, promotion of energy efficiency and the full implementation
country to even greater heights. Mabuhay! of electricity market reforms that is expected to give millions of Filipinos the Power of Choice.

With the increasing concern on energy security attributed to the inevitably growing energy
appetite among nations, it is incumbent upon us to plan ahead with keen foresight taking into
account innovations in energy technologies, regional and international developments and
contingencies such as climate change impacts and disaster preparedness and management. Yet, we
emphasized that the energy challenge is not just for government alone to solve. We need enhanced
cooperation and coordinated efforts among private and public sectors, civil society, academe and
the international community. More than ever, the country is counting on every one to play an
Hon. SERGIO R. OSMEA III equally important role to pursue our strategic vision of providing a sustainable energy future for
Chairman, Committee on Energy the present and future generations of Filipinos to come.
Philippine Senate

CARLOS JERICHO L. PETILLA


Secretary

ii iii
LIST OF TABLES AND FIGURES Table 70
Table 71
Target Number of Sitios Based on NEAs Sitio Electrification
Projected Infrastructure Requirements, 2011-2020
Table 72 Approved E.R. 1-94 Projects, 1995 to July 2012
LIST OF TABLES Table 73 Summary of Approved Projects in E.R. 1-94
Table 74 Biodiesel Measurable Targets
Table 1 GHG Emission by Sector and Activity, 2010-2011 Table 75 Bioethanol Measurable Targets
Table 2 GHG Emission by Fuel, 2010-2011 Table 76 Bioethanol Plant Capacity Addition
Table 3 Targets of Low Carbon Scenario Table 77 NGVPPT (CNG Taxis) Measurable Targets
Table 4 Active Service Contracts Table 78 NGVPPT (CNG Buses) Measurable Targets
Table 5 Oil and Gas Measurable Targets Table 79 Auto-LPG Jeepney-Repowering Measurable Targets
Table 6 Coal Measurable Targets Table 80 E-Vehicle Measurable Targets
Table 7 ERC-Approved FIT Rates Table 81 National Energy Efficiency Program Actual Savings
Table 8 Renewable Energy Installed Capacity Table 82 Cumulative Potential Energy Savings by Sector
Table 9 Awarded RE Service Contracts Under R.A. 9513 Table 83 Initial Risk Assessment of the Energy Systems
Table 10 Summary of RE Resources, 2012-2030
Table 11 Geothermal Capacity Additions
Table 12 Geothermal Potential Resources LIST OF FIGURES
Table 13 Geothermal Measurable Targets
Table 14 Hydropower Capacity Addition Figure 1 Energy Intensities, 2000-2011
Table 15 Potential Hydropower Resource Figure 2 Energy Elasticities, 2000-2011
Table 16 On-Grid Installed and Dependable Biomass Energy, 2011 Figure 3 Energy Per Capita, 2000-2011
Table 17 Awarded Biomass Projects Under R.A. 9513 Figure 4 Total Primary Energy Supply Mix, 2011 and 2010
Table 18 Awarded Biomass Registration Certificate for Own Use, 2011 and First Semester 2012 Figure 5 Net Energy Products Importation, 2011
Table 19 Biomass Capacity Additions Figure 6 Refinery Production, 2011
Table 20 Biomass Potential Resource Figure 7 Electricity Generation by Fuel Type, 2010-2011
Table 21 Wind Power Capacity Addition Figure 8 Final Energy Consumption by Sector, 2010-2011
Table 22 Wind Power Potential Resources Figure 9 Total Final Energy Consumption by Sector, 2011
Table 23 Solar Power Potential Resource Figure 10 Total Final Energy Consumption of Fuel Type, 2011
Table 24 Ocean Power Potential Resource Figure 11 Energy Consumption of the Transport Sector by Sub-Sector, 2011
Table 25 Total Number of New Players Per Activity, 2011 Figure 12 Energy Consumption of the Transport Sector by Fuel Type, 2011
Table 26 Total Crude Oil Imports Figure 13 Energy Consumption of the Residential Sector by Fuel Type, 2011
Table 27 Total Petroleum Product Imports Figure 14 Energy Consumption of the Industry Sector by Sub-Sector, 2011
Table 28 Total Industry Petroleum Products Demand (Domestic and International Demand) Figure 15 Energy Consumption of the Industry Sector by Fuel Type, 2011
Table 29 Petroleum Product Exports Figure 16 Energy Consumption of the Commercial Sector by Fuel Type, 2011
Table 30 Number of Gasoline Stations, as of December 2011 Figure 17 Energy Consumption of the AFF Sector by Fuel Type, 2011
Table 31 Total Storage Capacity, 2011 Figure 18 GHG Emission by Sector and Activity
Table 32 Depot and Storage Capacity by Major Islands, 2011 Figure 19 GHG Emission by Fuel
Table 33 Comparative Prices, as of 26 September 2012 Figure 20 Socio-Economic Impact of GHG Emission Level, 2006-2011
Table 34 Technical Standards, 2010-2011 Figure 21 Total Primary Energy Supply by Fuel Type
Table 35 Critical Infrastructure Projects Figure 22 Total Oil Supply, Actual (LCS vs BAU)
Table 36 Installed and Dependable Capacity by Island Grid, 2011 Figure 23 Coal Supply, Actual (LCS and BAU)
Table 37 Installed and Dependable Capacity by Plant Type, 2011 Figure 24 Natural Gas Supply, Actual (LCS and BAU)
Table 38 Comparative Generation by Ownership/Utilities Figure 25 Total RE Supply, Actual (LCS and BAU)
Table 39 Electricity Sales and Consumption by Sector Figure 26 GHG Emission, 2011-2030
Table 40 Electricity Sales and Consumption by Grid Figure 27 Total Final Energy Consumption by Sector
Table 41 Comparative Demand by Grid Figure 28 Total Final Energy Consumption by Sectoral Share
Table 42 Luzon Energy Sales and Peak Demand, Average Annual Growth Rates, 2012-2030 Figure 29 Final Energy Consumption by Fuel, 2000-2030
Table 43 Visayas Energy Sales and Peak Demand, Average Annual Growth Rates, 2012-2030 Figure 30 Total Primary Electricity Consumption by Sector, 2000-2030
Table 44 Mindanao Energy Sales and Peak Demand, Average Annual Growth Rates, 2012-2030 Figure 31 Transport Energy Demand
Table 45 Committed Power Projects Figure 32 Industry Energy Demand
Table 46 Capacity Additions Figure 33 Residential Energy Demand
Table 47 Summary of Existing Facilities Figure 34 Commercial Energy Demand
Table 48 Status of First Wave PSP Areas, as of June 2012 Figure 35 AFF Energy Demand
Table 49 Number of Power Plants in SPUG Areas, as of June 2012 Figure 36 Sedimentary Basins in the Philippines
Table 50 Number of Power Plants in Existing Areas, as of June 2012 Figure 37 Coal Reserves of the Philippines
Table 51 Newly Commissioned SPUG Power Plants Figure 38 Coal Consumption, 2011
Table 52 SPUG Gross Power Generation Figure 39 Philippine Coal Operating Contractors
Table 53 SPUG Peak Demand Figure 40 Coal Areas for Offer
Table 54 Average Plant Operating Hours, January to June 2012 Figure 41 Geothermal Service Contract Areas
Table 55 Second Wave Areas for PSP Figure 42 Primary Energy Mix, 2011
Table 56 Peak Demand Forecast in SPUG Areas Figure 43 Oil Consumption by Region, 2011
Table 57 Percentage of Off-Grids by Planned Operating Hours Figure 44 Luzon Supply-Demand Outlook, 2012-2030
Table 58 Capacity Additions in SPUG Areas Figure 45 Visayas Supply-Demand Outlook, 2012-2030
Table 59 Small Island Grid Supply and Demand Forecast Figure 46 Mindanao Supply-Demand Outlook, 2012-2030
Table 60 WESM Registration Update, as of June 2012 Figure 47 Ideal Location of Power Plants in Luzon
Table 61 List of Privatized Generating Plants, as of June 2012 Figure 48 Ideal Location of Power Plants in Visayas
Table 62 Indicative Privatization Schedule for the Appointment of IPP Administrator Figure 49 Ideal Location of Power Plants in Mindanao
Table 63 Remaining Assets for Privatization, as of June 2012 Figure 50 Bohol Backbone Transmission
Table 64 Electrification Level by Island Grid, as of 31 August 2012 Figure 51 Proposed Leyte-Mindanao Interconnection Project (Phase 2)
Table 65 Electrification Level by Region, as of 31 August 2012 Figure 52 Coverage of SPUG Areas
Table 66 Electrification by Franchise Holder, as of 31 August 2012 Figure 53 PRES Mini-Grids in Masbate
Table 67 Household Electrification Level, as of December 2011
Table 68 Distribution of the Remaining Unenergized Barangays in ARMM
Table 69 Household Electrification Targets, 2012-2017

iv v
I. OVERVIEW AND EXECUTIVE SUMMARY
Guided by the overall vision of providing Energy Access for More, the 2012-2030 Philippine Energy
Plan (PEP) seeks to mainstream access of the larger populace to reliable and affordable energy
services to fuel, most importantly, local productivity and countryside development. The energy
sector, mindful of its role in promoting better quality of life for the Filipino people, will ensure
the delivery of secure, sustainable, sufficient, affordable and environment-friendly energy to all
economic sectors. In pursuit of this goal, the government will mobilize private sector participation
and involvement of other stakeholders to make power of choice a reality.

ENERGY REFORM AGENDA


The ERA has outlined the
following major pillars
as its overall guidepost
and direction: (a) Ensure
energy security through the
development of indigenous
energy such as renewable
energy and hydrocarbon
fuels (oil, gas, and coal);
(b) Achieve optimal energy
pricing in electricity and oil;
and, (c) Develop a sustainable
energy system through the
formulation and update of
national plans and programs
The 2012-2030 PEP is crafted with due on energy development, which are consistent
consideration and premium on the economic with the countrys economic development plans.
parameters sourced from the National
Economic and Development Authority (NEDA), The Presidents Social Contract
Development Budget Coordination Committee
(DBCC), National Statistics Office (NSO) and The PEP is guided by the Presidents
international references on energy such as Social Contract with the Filipinos. The
the World Energy Outlook of the International plans and programs of PEP are responsive
Energy Agency (IEA). For the medium-term, to the Social Contracts pillars: a) Anti-
the 2012-2030 PEP is basically anchored on corruption/ transparent, accountable and
the policy framework set in place with the participatory governance through our
formulation of the Energy Reform Agenda energy contracting rounds, Information,
(ERA). The ERA is consistent with national Education and Communication (IEC)
development directives such as the Presidents and public consultation activities; b)
Social Contract and the 2011-2016 Philippine Poverty reduction and empowerment of
Development Plan; and, responsive to long-term the poor through our programs on rural
(beyond 2016) global policy frameworks on electrification, energy efficiency and
energy such as the UN Sustainable Energy for conservation, and the provision of benefits
All Initiative and the APEC Green Growth Goals. to host communities; c) Rapid, inclusive
and sustained economic growth through
basically all our programs especially in

vi PHILIPPINE ENERGY PLAN 2012-2030 1


improving the supply of energy products as the International Year of Sustainable in 2030 and 45.0 percent in 2035 (based on C. Indigenous Energy Development Program
and services (both oil and electricity) Energy for all. This global initiative engages 2005 level) as aspirational goal; c) promote
nationwide to fuel the businesses and the support of all governments, the private energy efficiency; and, d) incorporate As energy demand is anticipated to grow
spur countryside development; d) Just and sector and civil society in ensuring universal low-emissions development strategies to significantly over the indicated planning period,
lasting peace and the rule of law starting access to modern energy services, double the economic development plans, among others. it is incumbent for the energy sector to pursue
with the efforts of the Department of Energy global rate of energy efficiency by reducing all means to develop the countrys indigenous
(DOE) in developing regional energy plans energy use (14.0 percent) in 2030, double To contribute to the attainment of these broad resources. In view of this, the Plan looks into a
such as the Mindanao Energy Plan (MEP) the share of and/or increase the share of policy and program frameworks, the DOE will highly diverse energy mix to fuel the Philippine
to serve as the regions energy roadmap; e) renewable energy in the global energy mix work on ensuring the implementation of the economy within the planning period. Even with
Integrity of the Environment and Climate from the current share of 15.0 percent. following plans and programs: the dawning of renewable energy development,
Change Mitigation and Adaptation with our the DOE recognizes the fact that the country
accelerated programs on energy efficiency, ASEAN Plan of Action for Energy A. Power Sector Development will remain dependent on conventional fuels
renewable energy and alternative fuels; and, Cooperation (APAEC) 2010-2015 for many years to come to address its growing
f) Gender Development, which is integrated The development plans on power systems, energy requirements. The Plan programs the
in relevant plans and programs. The PEP supports and contributes to transmission highways, distribution facilities conduct of energy contracting rounds as an
the regional action plans and targets as and missionary electrification provide the effective strategy to bring in critical investments
Philippine Development Plan (PDP) espoused in APAEC 2010-2015. APAEC platform to put in place long-term reliable power for the exploration, development and production
2011-2016 is the regional framework of energy supply, improve the countrys transmission and of local energy resources.
cooperation highlighting the role of energy distribution systems and attain nationwide
The energy sector contributes to the under the ASEAN Economic Community electrification. Specifically, the PEP highlights the D. National Renewable Energy Plan
PDPs goals of promoting inclusive Blueprint 2015. It aims to enhance regional implementation of critical power infrastructures
growth and poverty reduction. The PEP energy security and sustainability through to address possible power outages. Based on the With the global trend towards a clean energy
programs on ensuring energy supply aggressive implementation of action plans Plan, the government will concentrate its efforts future, the Renewable Energy Act was passed in
security and providing energization to the of the different program components on the completion of committed power projects, 2008 to fully harness the countrys renewable
countryside are integral components of (1) ASEAN Power Grid; (2) Trans-ASEAN as well as attract local and foreign investors energy potential such as geothermal, hydro,
the national infrastructure development Gas Pipeline; (3) Coal and Clean Coal to venture into indicative and potential power wind, solar, biomass and ocean. To guide the
agenda as contained in the PDP. These Technology; (4) Renewable Energy; (5) projects to include electrification projects. full implementation of the law, the National
energy commitments will support the Energy Efficiency and Conservation; (6) Renewable Energy Program (NREP) was
PDPs targeted outcomes of enhancing Regional Energy Policy and Planning; and, B. Fuelling Sustainable Transport Program launched on 14 June 2011 by President Aquino.
the countrys competitiveness, reducing (7) Civilian Nuclear Energy. The PEP includes the targets set under the NREP to
gaps in basic services, and improving As one of the biggest user of energy, the energy strengthen its energy security plan. Specifically,
environmental quality. Among the regional targets set in APAEC sector is mainly concerned on other alternative the NREP seeks to increase the countrys
to be achieved in 2015 are: (a) 8.0 percent options to fuel the transport sector. Thus, renewable energy-based capacity by 2030.
UN Sustainable Energy For All Initiative (aggregate) energy intensity reduction the PEP will pursue the implementation of the
Development based on 2005 level; and (b) increase share Fueling Sustainable Transport Program (FSTP) E. Energy Efficiency and Conservation Program
of renewable energy resources to total which seeks to convert public and private
Cognizant of the fact that the energy sector installed power generating capacity of the vehicles from diesel and gasoline to compressed With the escalating prices of imported fuels, the
is the biggest contributor of greenhouse gas region by 15.0 percent. natural gas (CNG), liquefied petroleum gas call for energy efficiency and conservation has
(GHG) emissions, accounting for about 49.0 (LPG) and electric power. Under the program, graduated from merely just a personal virtue to
percent of the worlds total, the PEP contains Asia-Pacific Economic Cooperation CNG buses are envisioned to ply throughout that of a national commitment. The PEP includes
the policies, plans and programs that will (APEC) Green Growth the country. It also includes the promotion of the National Energy Efficiency and Conservation
significantly contribute to the countrys electric vehicles for public transport and the Program (NEECP) as one of the centerpiece
transition towards a low carbon economy This Plan also adheres to the APEC Green increase in biofuels blends to 20.0 percent. strategies in pursuing energy security of the
an economy that generates minimal output Growth Goals which include the following: country and looks into it as a major solution to
of GHG emissions into the biosphere. a) rationalization/phase out of inefficient With the FSTP, the government hopes to reduce the energy challenges of the future. To lay the
fossil-fuel subsidies that encourage wasteful the carbon footprint from road transport in groundwork for a national energy efficiency
In December 2010, the United Nations consumption; b) reduction of aggregate the Philippines. It has been estimated that plan, the PEP recognizes the need for an energy
General Assembly declared the year 2012 (regional) energy intensity by 25.0 percent road transportation accounts for around 50.0 conservation law as a critical measure in
percent of the total air pollutants in the country. managing the countrys energy demand. The

2 PHILIPPINE ENERGY PLAN 2012-2030 PHILIPPINE ENERGY PLAN 2012-2030 3


proposed legislation aims to incorporate policies Crude oil importation dropped by 6.7 Power, the 21.3 MW CIP II diesel power plant, generator sets will be paid by the DU within
and measures to develop local energy auditors percent from 69.61 million barrels (MMB) and the 19.8 MW Green Future and 1.2 MW its franchise area. The reduction of the
and energy managers, establish the ESCO in 2011 to 64.94 MMB in 2012. Of the total Pangea biomass power plants. The uprating of power load requirements of the DUs with
industry, encourage the development of energy imports, around 79.4 percent was sourced Binga Hydro Electric Power Plant from 100 MW embedded generator will be transferred to
efficient technologies and provide incentives for from the Middle East, bulk of which or 45.9 to 125 MW also contributed to the increase. other DUs requiring additional supply.
the effective promotion of efficiency initiatives percent came from Saudi Arabia. On the
in the energy market sector. other hand, finished petroleum product In the Visayas, installed capacity stood at 2,448.0 Interim Mindanao Electricity Market
imports posted an increase of 18.9 percent MW, an increase of only 2.3 percent from 2011 (IMEM). The establishment of an electricity
F. Natural Gas Masterplan or 54.75 MMB from 46.06 MMB in 2011. level of 2,393.8 MW. Meanwhile, the dependable market in Mindanao is seen as a mechanism
Diesel fuel exhibited the largest growth at capacity went up by 3.3 percent from 2,036.8 to provide for a central dispatch and price
A complementary initiative to ensure the 35.7 percent. MW in 2011 to 2,103.3 MW in 2012. for available capacities. Transaction in the
countrys energy security is the review IMEM will only be undertaken during supply
and update of the Master Plan Study for the Local refinery production decreased by In Mindanao, ensuring enough power supply shortfall. Power generating companies with
Development of the Natural Gas Industry 10.5 percent from 67.37 MMB in 2011 to remained a major challenge with the island uncontracted capacities as well as DUs
in the Philippines. Said update includes an 60.29 MMB in 2012. This was due to the grids ever growing demand and with not and large users with available embedded
evaluation of the natural gas infrastructure maintenance shutdown of the two (2) much additional capacity coming in. In 2012, generating capacities may nominate/bid
requirements in the Visayas and Mindanao refineries. Average refining output in 2012 installed capacity was recorded at 2,049.3 MW to the IMEM their available capacities for
regions in view of the DOEs plan to implement stood at 164.7 thousand barrels (MB) per with minimal increase of 27 MW in capacity dispatch at approved bid price.
a Natural Gas Infrastructure Development day compared with 184.6 MB per day in the from previous year level of 2,022.0 MW. The
Plan in these regions. The Masterplan, with previous year. additional capacity was due to the commercial It is expected that starting second half
technical assistance from Japan International operations of 3.2 MW King Energy (oil-based of 2014 onwards to 2015 and 2016, new
Cooperation Agency (JICA) and World The countrys demand for petroleum power plant), the 9.2 MW Cabulig Hydro Electric capacities from committed power projects
Bank, evaluates the opportunities, critical products went up by 4.0 percent to 111.0 Power Plant, and the capacity expansion of will be on commercial operation to provide
infrastructures and required investments for MMB from 106.32 MMB in 2011. This Crystal Sugar (biomass) from 21 MW to 35.9 the needed power supply requirement of the
the development of the natural gas industry. could be translated to an average daily MW. grid.
requirement of 303.3 MB, higher than
ENERGY SECTORS PERFORMANCE previous years level of 291.3 MB. The government also came up with immediate Power Generation. Gross electricity
and short-term measures to address the generation in 2012 went up by 5.4 percent
The 2012-2030 PEP provides the big picture The power sector has always played a key capacity gap in Mindanao. One of the solutions from previous years level of 69,175.7
on how the energy sector will proceed towards role in driving the countrys economy. Its considered was the re-commissioning of the gigawatt-hours (GWh) to 72,299 GWh.
meeting its goals and mandate. The main stability and reliability are always of interest Iligan Diesel Power Plant which has a rated
chapters of the Plan highlights the 2011 vis-a- for a country that has an increasing trend capacity of 100 MW. Luzon grid generation posted an increase
vis 2010 accomplishments of the energy sector. with respect to its power demand. of 4.6 percent, while Visayas demonstrated
And to provide a more updated assessment, The other immediate measures that the a huge increase of almost 10.0 percent
specified below are major achievements for the Installed Capacity government considered to address the short- (15.0 percent in 2011) due to the 610 MW
period 2011 to 2012. term supply gap were: additional capacities from coal-fired power
Total installed capacity of the country increased plants to the grid. On the other hand,
There was an increase in primary energy by 6.0 percent in 2012 to 17,025.0 megawatts Interruptible Load Program (ILP). Designed despite experiencing suppressed demand
supply of 7.8 percent from 39.4 Million Ton (MW) from the 2011 level of 16,226.9 MW. to entice greater participation from the from capacity constraints, the Mindanao
of Oil Equivalent (MTOE) in 2011 to 42.9 different distribution utilities (DUs) with grid exhibited 4.9 percent improvement
MTOE in 2012. However, the countrys Among the major island grids, Luzon registered embedded generating capacities or those in generation which was attributed to the
energy self-sufficiency level in 2012 the biggest increase in installed capacity at 5.4 large users within their franchise areas relatively stable hydro facilities and from
declined to 56.3 percent from previous year percent from 11,811.1 MW in 2011 to 12,527.8 having backup generating capacities to contribution of biomass-based power plant.
level of 59.6 percent. Such reduction was MW in 2012. For the same periods, dependable utilize such capacities. Under this program, Generation from oil-based power plants also
attributed to a decreased share of natural capacity of the grid likewise increased by 4.8 the DUs with approved Energy Regulatory expanded on the same year.
gas and an increased importation of oil to percent from 10,824.4 MW to 11,348.7 MW. Commission (ERC) power rates will operate
meet the increasing domestic requirement Said increase was attributed to the commercial their embedded generating capacities, The countrys total generation from oil-
specifically for the transport sector. operations of 651.6 MW coal power plant of GN while the large users running their backup based power plants accelerated by 25.2

4 PHILIPPINE ENERGY PLAN 2012-2030 PHILIPPINE ENERGY PLAN 2012-2030 5


percent from 3,397.6 GWh in 2011 to 4,254.0 likewise rose by 26.8 contributing 250.5 21,010,890 households already provided been recommended for approval. Currently,
GWh in 2012. The increase in generation GWh. However, their combined share only with electricity. the DOE is monitoring and supervising 27
was evident in Luzon grid with 39.5 percent, stood at 0.36 percent to the total generation. Petroleum Service Contracts.
followed by Mindanao with 20.8 percent and The significant increase was driven by In the case of sitios, 87,474 out of the
Visayas with only 7.5 percent. Oil-based the biomass generation with additional 122,983 potential sitios had access to Considering that coal remains to be a leading
power plants were frequently dispatched in capacities from the commercial operation of electricity posting electrification level at contributor to the countrys energy supply,
Luzon to provide additional supply in view 19.8-MW Green Future, 1.2-MW Pangea in 71.13 percent. the government continues to optimize the
of the planned outage of the 612-MW (block Luzon and the capacity expansion of Crystal exploration, development, production and
A) Ilijan Natural Gas Plant for about a month Sugar in Mindanao. Missionary electrification is one of the utilization of indigenous coal reserves. In
and to meet supply requirement during major undertakings in the power sector. 2012, indigenous coal production (run-of-
summer months. On the other hand, to The overall barangay electrification level The Qualified Third Party (QTP) program mine) was recorded at 7.4 million metric
reduce supply constraints in the Mindanao in 2012 stood at 99.99 percent with only is implemented to open unviable areas tons (MMMT). Of the total coal production,
grid, generation from oil-based power plants six (6) remaining to be unenergized. These for private sector investment and provide Semirara Mining Corporation provided the
was expanded. barangays are located in the Autonomous integrated generation and distribution largest share of about 7.0 MMMT or 95.0
Region for Muslim Mindanao (ARMM), electric services to households without percent.
With additional generating capacity, specifically in the province of Maguindanao. access to power. In December 2012,
generation from coal increased by 11.5 Powersource Philippines, the first QTP Following the launching of PECR 4 for
percent from 25,342.2 GWh in 2011 Further to the goal of increasing electricity project in Barangay Rio Tuba, Bataraza coal in December 2011 which offered 38
to 28,264.9 GWh in 2012. Meanwhile, access, the government also focused its in Palawan installed and commissioned prospective coal areas, 57 out of 69 proposals
generation from natural gas dropped by electrification initiatives to cover households a biomass gasifier system and began were accepted. The Review and Evaluation
4.6 percent in 2012 from 20,591.3 GWh as well as sitios. It is envisioned that 90.0 operating eight (8) hours per day. Evaluation Committee has recommended the approval
in 2011 to 19,641.5 GWh. The decrease percent household electrification by 2017 of the second QTP application by the same of new coal operating contracts (COCs) for
was attributed to supply restriction from and 100.0 percent sitio electrification by energy company has been completed for 18 areas. As of 2012, the DOE monitors and
Malampaya as a result of maintenance 2015 will be achieved. the Malapascua Island, Daan Bantayan in supervises 68 COCs and issued a total of 84
shutdown in mid- July 2012, and the non- Cebu. The project will be providing 24/7 small-scale coal mining permits (SSCMPs).
operation of Ilijan Natural Gas Power Plant As of 2012, household electrification stood electricity services to about 800 households
due to scheduled outage on 18 November18 at 76.69 percent1 with 16,114,213 out of in the island. The NREP launched in June 2011 is the
December 2012. Contribution from energy sectors roadmap in the next 20
geothermal power plants improved by 3.1 Ongoing coordination has been conducted years to develop sustainable energy system
percent, providing 10,250 GWh in 2012 for the third QTP project under the Semirara and access to clean and green energy. It is
from previous years level of 9,942.3 GWh. Mining Corporation. The project is expected aimed at increasing the renewable energy
This was despite the decommissioning of to provide electricity to about 3,884 (RE) installed capacity to 9,525 MW (as
the 49-MW Northern Negros Geothermal households in three (3) barangays in the aspirational target), which is more than
Power Plant, On the other hand, generation island. double the 2010 level as base year.
from hydroelectric power plants registered
an increase of 5.7 percent from 9,697.5 GWh Crude oil production in 2012 stood at 1.64 In 2012, the DOE awarded 101 RE service
in 2011 to 10,252.1 GWh in 2012. Such MMB, 90.5 percent of which came from the contracts with total installed capacity
came from an increase in generation in the Galoc Field (producing about 1.48 MMB for of 2,565.94. Of the total, five (5) service
Luzon grid by 9.4 percent with the uprating the year). On the other hand, natural gas contracts are for conversion (with total
of Binga Hydroelectric Power Plant from production from Malampaya for the same installed capacity of 1,061 MW) to avail of
100 MW to 125 MW, and Mindanao grid year stood at 134.56 BCF with associated the incentives under the Renewable Energy
by 2.2 percent with the commissioning of condensate of about 4.75 MMB. Act. These RE Service Contracts are broken
Cabulig Hydroelectric Power Plant. Higher down as follows:
and relatively stable water level during rainy During the 4th Philippine Energy
Installation of PV systems at beneficiary areas
o Geothermal with eight (8);
months contributed to increased generation. Contracting Round (PECR) held in June
o Hydro with 53;
2011, the DOE received 20 bid proposals for
1 Household and sitio electrification level is based on NEAs o Biomass with seven (7);
Other renewable energy combined petroleum exploration from the 15 offered
December 2012 Energization Status. The figure for HH o Wind with six (6); and,
generation, such as wind, solar and biomass, only reflects those covered by electric cooperatives (ECs) areas. Of the 20 bid proposals, five (5) have
o Solar with 27.
and does not include those covered by private DUs.

6 PHILIPPINE ENERGY PLAN 2012-2030 PHILIPPINE ENERGY PLAN 2012-2030 7


For the period 2010-2012, service contracts in Batangas through a Memorandum of 2. With Xavier University in July 2012 A silver lining in energy management is
awarded already reached 258 comprising of Understanding (MOU) signed with DOE in on Bioethanol Production Potential of the promotion of energy efficiency and
215 new service contracts and the remaining June 2012. The viability of the proposed Different Cassava Varieties under conservation (EE&C) as a way of life for
were for conversion. FSRU is linked with the implementation of Northern Mindanao
Development Condition
of a Pilot-scale Cassava and Filipinos. Under
Filipinos. Under the the governments
governments NEECP,
NEECP, the
the Batangas-Manila (Batman 1) pipeline Bioethanol
Development Plan; of and,
a Pilot-scale Cassava country was able to save 4.79 MTOE in 2012.
the country was able to save 4.79 MTOE
As of 2012, after 14 years under a network. The results of the study will be Bioethanol Plan; and, This is about
in 2012. This14.6 is about percent
14.6higher
percentthan the
higher
deregulated downstream oil industry available in the first semester of 20132. 3. With the University of Philippines Visayas 2011 level
than the 2011 of 4.10
level of MTOE. Several Several
4.10 MTOE. sub-
environment, there is a total of 1,908 Foundation,
3. With the Inc. in August of2012
University on the
Philippines components of
sub-components of the program have the program have all
players engaged in various activities like On the other hand, the Philippine National project Visayas Foundation, Inc. in Augustfrom
Bioethanol Production 2012 contributed to the increase in energy savings,
all contributed to the increase in energy
Macro-algae and Socio-ecological such as the use of energy labelling and
marketing, distribution and storage Total Oil Company (PNOC) with assistance from on the project Bioethanol Production savings, such as the use of energy labelling
Implementations. efficiency standards, implementation of the
investment was estimated at PhP 42.60 JICA is conducting a feasibility study for from Macro-algae and Socio-ecological and efficiency standards, implementation
government energy management program,
billion. Batman 1 in 2013. Implementations. of the government energy management
There are 41 CNG public utility buses conduct of IEC activities and the calibrated
commercially operating along South Luzon program, of
phase-out conduct
inefficient of IEC activities
energy and the
technologies
The DOE has been continuously monitoring Meanwhile, the PNOCEnergy Corporation routes.
There To areenhance
41 CNG public for
incentives utility
CNG buses bus calibrated phase-out of inefficient
promoted by the Philippine Energy Efficiency energy
the activities of the sector to ensure (PNOC-EC) will replace the Mamplasan commercially operating
operators, the Department of Transportation along South Luzon technologies
Program (PEEP). promoted
by the Philippine
that there is adequate and stable supply CNG Refueling facility and put up a new routes.
and To enhance incentives
Communication for CNG its
(DOTC) signified bus Energy Efficiency Program (PEEP).
of petroleum products in the country. one in the Port Area of Batangas City under operators, the Department
preferential approval of franchise applications of Transportation As part of the PEEP, the DOE completed the
Information on the sectors activities such the Natural Gas Vehicle Program for Public and Communication (DOTC) signified its
for CNG-fed buses except for routes that pass As part of the
distribution of PEEP, 3.6 the DOE completed
million compact
as crude and product imports, exports and Transport (NGVPPT) pilot project. Said along
preferential Epifanio Delos Santos
approval of franchise Avenue (EDSA).
applications fluorescent
the distribution lamps of (CFLs)
3.6 through
million the compact188
costs, price movements, refinery production, CNG refueling stations are expected to be Likewise,
for CNG-fedthe busesMetropolitan
except for routes Manila that congressional
fluorescent lamps districts (CFLs) and 51 through
party list
the
industry demand, distribution and inventory operational by 1st quarter of 2014. Development (MMDA)
pass along Epifanio Delos Santos Avenue granted exemption to representatives.
188 congressional districts and 51 party Further, CFLs were also
levels have also been maintained to promote CNG buses under
(EDSA). Likewise, the Metropolitan Manila the the Unified Vehicle distributed to the disadvantaged
list representatives. Further, individuals,
CFLs were
fair and healthy competition in the sector. In the promotion of alternative fuels for Volume
Development Reduction Scheme. (MMDA) granted
Authority families and communities
also distributed to the disadvantaged under the
Department of Social Welfare and
the transport sector, total production of exemption to CNG buses under the the Unified individuals, families and communities
Meanwhile, the Auto-Liquefied Petroleum Developments (DSWD) National Poverty
An Independent Oil Price Review Committee biodiesel in 2012 reached 137.88 million Vehicle Volume Reduction Scheme. under the Department of Social Welfare
Gas (Auto-PLG) Repowering Program has Reduction Strategy and Countryside
(IOPRC) was formed in 2012 to study if there liters, while that of bioethanol was at 32.44 and Developments (DSWD) National
benefitted the public transport through lower Partnership.
is accumulation of excessive profits and million liters. The DOE issued a Certificate Meanwhile,
fuel the Auto-Liquefied
cost of about PhP15.00/liter (LPG Petroleum cost Poverty Reduction Strategy and Countryside
unfair pricing. The final report of the study of Registration to one (1) biodiesel plant Gas (Auto-LPG) Repowering
compared with conventional gasoline fuel). Program has Partnership.
As part of the Bright Now! Do Right! Be
was submitted to DOE in August 2012 with (Philippine Biochem Products, Inc.) in May benefitted the public transport
The program was able to facilitate the through Bright! Campaign, the DOE in partnership
the following major findings, among others: 2012 with total capacity of 12 million liters lower fuel costof of 321
establishment aboutaccredited
PhP15.00/liter auto-LPG (LPG As part
with ADB oflaunched
the Bright the Now!
Watts Do Out!
Right!TV
Be
per year. cost compared
conversion shops. with
conventional gasoline Bright! Campaign,
Olympics the DOE
in August 2012 in partnership
to demonstrate the
o Oil Deregulation Laws goals of fuel). The program was able to facilitate the most
with energy
ADB launchedefficient technologies
the Watts available Out! TV
increased competition and fair price In terms of utilization on the mandatory On the Electric Vehicle Program, there are 20
establishment of 321 accredited auto-LPG in the local in
Olympics television
August 2012 market. The Watts Out!
to demonstrate the
(lower than in an oligopoly) are being use of 2.0 percent biodiesel blend and 10.0 e-trike
conversion units shops.
in Mandaluyong City as pilot activity
most energy sought efficient
to demonstrate
technologies the impact
availableof
achieved; percent bioethanol blend, total actual sales project to assess the techno-economic the
in the appliances
local televisionpower market.
consumption The Watts to the
Out!
o Deregulation has resulted in increased in 2012 for biodiesel stood at 137.47 million viability
On theof electric-powered
Electric Vehicle Program, tricycles. there
Under are monthly electricity
activity sought to demonstrate the impact bill. Television
responsiveness of local pump prices liters, while for bioethanol about 38.89 the ADB Loan Assistance Program, 100,000 e-
20 e-trike units in Mandaluyong City as a manufacturers participated in
of the appliances power the activity and
consumption
trike units will be purchased to replace two- displayed their most efficient 32-inch CCFL-
(Metro Manila prices) to world oil million liters (including inventory). pilot project to assess the techno-economic to the monthly electricity bill. Television
stroke tricycle units thereby reducing and LED-backlit Liquid Crystal Display (LCD)
prices; viability of electric-powered tricycles. Under manufacturers participated in the activity
petroleum consumption and achievjng lower models. The power consumption of each of
o Pump price response to changes in the The DOE collaborated with the academe on the ADB Loan Assistance Program, 100,000
emission level. In November 2012, the loan
world oil prices have been symmetrical; several biofuels projects to wit: e-trike units
negotiation will bethe
between purchased to replace
government and
and, two-stroke tricycle units
ADB was concluded. Subsequently, the thereby reducing said
o Oil companies profits are reasonable. 1. With Mariano Marcos State University petroleum
loan consumption
was approved by the and achievjng
ADB Board on lower
11
(MMSU) in May 2012 on Village Scale emission level.
December 2012. In November 2012, the loan
To develop the downstream natural gas Production of MMSU Hydrous Ethanol as negotiation between the government and
industry, Pilipinas Shell conducted a Feedstock for R & D in Biofuel Trials and A ADB silver was concluded.
lining Subsequently,
in energy management said
is the
technical feasibility on the installation of a Anhydrous Ethanol Production; promotion
loan was approved of energy by the ADB efficiency
Board on and
11
Floating Storage Regasification Unit (FSRU) conservation
December 2012. (EE&C) as a way of lif e for
2 Completed in July 2013
PHILIPPINE ENERGY PLAN 2012-2030 9

8 PHILIPPINE ENERGY PLAN 2012-2030 PHILIPPINE ENERGY PLAN 2012-2030 9


and displayed their most efficient 32-inch The transport sector will account for the biggest Coal consumption will also continue to grow at the planning horizon. The share of natural gas
CCFL- and LED-backlit Liquid Crystal Display share at an annual average of 35.5 percent to an annual average rate of 7.8 percent. On the in LCS is about 10.3 percent with a projected
(LCD) models. The power consumption of the total energy consumption, and will post an other hand, biomass consumption is projected annual growth rate of 6.9 percent. Thus, it
each of the television model was monitored annual average growth rate of 2.9 percent. The to decrease over the planning period due to the is critical to put in place vital infrastructures
during the course of event. industry sector follows next with an average shift to more efficient fuel. such as gas pipelines and LNG terminals for the
share of 33.7 percent and will exhibit the fastest development of the natural gas industry.
In September 2012, a total of 223 households growth at 5.1 percent annual average rate. Total primary energy supply will grow at an
were energized in the provinces of Antique Commercial, agriculture and residential sectors annual average rate of 3.4 percent to reach 73.9 The updating of the Master Plan Study for
(61), Aklan (29), Palawan (57) and Davao will post average growth rates of 2.7, 0.8 and -0.6 MTOE in 2030 under the BAU. In comparison, the Development of the Natural Gas Industry
del Norte (76) through the free installation percent, respectively, for the planning horizon. the growth rate of total energy supply in LCS will in the country has been completed in March
of efficient technology demonstration be higher by 2.0 percentage points. Such is due 2012 through the technical assistance of
package. The package includes six (6) Oil will still be the major fuel accounting for to the utilization of more RE resources, such as JICA. Meanwhile, a complementary study was
pieces of LED lamps, lockable battery, an average share of 43.5 percent of the total hydro, geothermal, wind and solar, contributing conducted by World Bank on the feasibility of
mounting structure, charge controller energy demand. Such share of oil is lower about 37.3 percent average share to the total supplying natural gas in Mindanao, which was
with built-in AM/FM radio and outlets for than 2011 level of almost 50.0 percent share. energy supply. completed in June 2012. The WB study reviewed
mobile phone charger using photovoltaic This is attributed to target increase in biofuels the current and existing LNG transportation,
solar home systems in lieu of kerosene and blends (20.0 percent for biodiesel by 2025 and Oil and Oil Products receiving, storage and regasification approaches,
candles. bioethanol by 2020), the increase in the number including analysis of a suitable LNG terminal
of CNG buses and taxis, and the entry of electric For the planning period, oil will still be the site in the region. Further, the WB study also
The DOE, in partnership with JICA, conducted vehicles starting with e-trikes. primary fuel source with an average share of revisited the identified LNG sites in the Bataan
the Development Study on Energy Efficiency 28.2 percent to the total energy supply and with peninsula. Another WB complementary study
and Conservation for the Philippines. The For the transport sector, about 42.0 percent of an average growth rate of 2.1 percent in the BAU titled Mindanao Natural Gas Development
study provided a concept design for the the total energy demand of the sector is diesel scenario. However, under LCS, the share of oil Strategy was also conducted with the primary
proposed legislation on energy efficiency followed by gasoline with 28.4 percent average is expected to decline contributing an average goal of determining the regions possible access
and conservation share. With increased biofuels blends and the of 27 percent share at an annual moderate to the international gas market.
target increase in the number of CNG buses and growth rate of 1.9 percent on the average.
ENERGY OUTLOOK taxis to 15,000 and 16,000 units, respectively, This is attributed to increased penetration of A Downstream Natural Gas Industry Law will
and e-vehicles to 230,000 units nationwide alternative fuels and renewable energy. also be filed in the 16th Congress to provide
For this PEP Update, two (2) scenarios were by the end of the planning period, significant the regulatory framework and incentives
developed for the supply side the Business-as- amount of oil consumption (diesel and gasoline) The domestic upstream sector targets to harness to prospective investors. Infrastructure
Usual (BAU) and the Low Carbon Scenario (LCS). will be displaced. The LPG for transport is potential oil and gas fields through the awarding development is strategic to ensure the supply of
The BAU scenario simulates the future energy also seen to increase over the planning period of 61 Service Contracts from the conduct of the gas that will fuel prospective capacity additions
supply based on market forces interaction. On registering an annual average share of almost PECR during the planning period. from natural gas power plants, industry uses,
the other hand, LCS scenario considers the policy 1.0 percent. For the 16th Congress, an LPG and the CNG buses and taxis.
interventions and aggressive implementations of Industry Bill will be proposed to regulate the Natural Gas
plans and programs for clean and environment- utilization and safety requirement of the said Coal
friendly energy fuels and technologies. On the fuel for transport. Natural gas is seen to contribute an average
demand side, the LCS scenario serves as the share of 9.0 percent to the total primary supply Coal will contribute an average share of 30.1
reference case with inclusion of the sectors Electricity consumption comes next with 22.9 increasing at an annual average growth rate of percent to the countrys primary energy supply
goal of 10.0 percent energy savings on the total percent average share and growing annually of 4.9 percent under BAU. The supply of gas under the BAU and will increase at a rate
energy demand of all economic sectors by the at 3.8 percent. The growth in electricity will be basically sourced from Malampaya and of 7.2 percent annually during the planning
end of the planning period. consumption has also factored in the 10.0 additional gas (uncontracted gas) from other period. The government targets to increase
percent efficiency improvement with the potential fields. indigenous coal production by 100.0 percent.
Over the planning period, the total final energy aggressive implementation of the NEECP. The Increasing the contribution of indigenous coal
consumption (TFEC) will exhibit an annual average passage of an EE & C Law, which will likewise The liquefied natural gas (LNG) importation would reduce coal importation. Imported coal
growth rate of 2.8 percent. TFEC will reach 39.1 be filed in the 16th Congress, will further is seen to provide additional gas supply contributes around 70.0 percent average share
MTOE by the end of the planning period. strengthen the NEECP and vital to realizing the requirement for the country in the LCS especially to the countrys supply requirements.
target efficiency improvement. if no new gas fields will be discovered during

10 PHILIPPINE ENERGY PLAN 2012-2030 PHILIPPINE ENERGY PLAN 2012-2030 11


II. ENERGY DEMAND AND SUPPLY
A much lower average growth rate of 4.8 percent Alternative Fuels (Biofuels) OUTLOOK
II. ENERGY DEMAND AND SUPPLY OUTLOOK
is seen in the LCS with equivalent contribution
of 25.2 percent average share to the primary Under both scenarios, the mandated 2.0 percent
energy supply. This is due to the utilization biodiesel blend (which started in 2009) will have 2011 Energy Situationer
2011 Energy Situationer
of more RE resources in the power generation, to increase to 20.0 percent by 2025, and the 10.0
which will displace some capacities from coal. percent bioethanol blend (started in 2011) will ENERGY-ECONOMY
ENERGY-ECONOMY INDICATORS
INDICATORS3
3one
(BBL/Php100,00 of GDP),
hundred thousand from
pesos of the GDP4
real previous
be accelerated to 20.0 percent by 2020. With the (BBL/Php100,00
years 1.8 BBL/Php100,00 of GDP), from ofthe GDP previous
as importation years
required mandated blends, biodiesel will grow at The Philippines The Philippines economic output economic output
in terms of in terms of was discouraged by political turmoil inwas
real 1.8 BBL/Php100,00 of GDP as importation the
Renewable Energy an annual average growth rate of 15.5 percent, Gross Domestic real Gross Domestic
Product (GDP), Productposted (GDP), feeble posteddiscouraged Middle East by political turmoil in the prices
drove international Middle higher.East
while bioethanol will increase by 9.5 percent. growth of feeble growth
3.7 percent in 2of 3.7compared
011 percent in to a2011 compareddrove international prices higher. The decline in oil
robust The decline in oil supply likewise contributed
Under the BAU, contribution from RE will grow 7.6 percent to in
a 2robust
010, as 7.6 government 2010, as governmentsupply
percent inunder-spending to the likewise
drop in contributed
energy intensity to the ofdrop
2.5in energy to
percent
at an annual average rate of 0.8 percent (and Power Sector on infrastructure
under-spending slowed ondown the domestic
infrastructure slowed downintensity 6.7 tonnes of 2.5 percent to 6.7 tonnes of oil
of oil equivalent per million pesos of
with average share of 32.6 percent) with only economy the in the second and third quarters of the equivalent per million pesos of real GDP
domestic economy in the second and third real GDP (TOE/MPhp) from last years 6.9 TOE/
year. (TOE/MPhp) from last years 6.9 TOE/MPhp, albeit
the committed RE power projects coming into The countrys peak demand for power will grow quarters of the year. MPhp, albeit indicating an improvement from
indicating an improvement from the previous years
the system. at an annual average rate of 4.3 percent over the previous years -5.7 percent that can be
The Services sector grew resiliently by 5.0 percent, -5.7 percent that can be attributed to the recovery
the planning period. The country will need The Services sector grew resiliently by 5.0of renewable attributed to the recovery of renewable energy,
contributing more than half of real GDP (56.5 energy, particularly hydropower, in
The passage of Renewable Energy Act of 2008 about 13,166.7 MW of new capacities to meet percent, contributing more than half of real2011. particularly
Relatedly, hydropower,
electricity in
intensity 2011. fell Relatedly,
by 1.7
percent share in 2011), as combined revenues from
strengthens the policy of the government to domestic power requirement energy demand
domestic GDP trade, (56.5 percent
finance and sharereal in 2011),
estate as combinedpercent,
sectors electricity intensity
from 11.9 fell by 1.7 percent, from
watt-hour per peso of real GDP
accelerate the exploration and development of and reserve margin. From the needed capacity, revenues from domestic trade, finance and real 11.9 watt-hour per
(Wh/Php) in 2010 to 11.7 Wh/Php peso of realin GDP (Wh/Php)
2011, as oil
helped sustain the economy. Meanwhile, the
RE resources in the country. With this, around 1,766.7 MW will be provided by committed estate sectors helped
lackluster performance of the construction sector, sustain the economy. supply in 2010
w oes to
t 11.7
rickled Wh/Php
d own t o ein 2011,
letricity g as oil
eneration. supply
9,300 MW from indicative and potential RE power projects, while the remaining 11,400 MW Meanwhile, the
beleaguered by government underspending, pulled lackluster performance of the woes trickled down to eletricity generation.
resources (geothermal, hydro, wind, solar, will be available for private sector investment. down the construction
Industry sectors sector, beleaguered
growth by government
to a measly 1.9 Meanwhile, the combined improvements in energy
biomass, and ocean) have been identified as Of the 11,400 MW, 8,400 MW will be baseload percent despite underspending, pulled down output.
favorable manufacturing the Industryefficiency Meanwhile, and structural
the combined changes improvements
in the economy in
aspirational target which could be harnessed plants, 2,100 MW mid-range plants, and 900 Meanwhile, sectorsthe Agriculture,
growth to aFishery measlyand percent despite energy efficiency and structuraldchanges
1.9 Forestry caused s ectoral e nergy i ntensities t o ecline further
in the
within the planning period. MW peaking plants. (AFF) sector rebounded to a 2.6 percent growth
favorable manufacturing output. Meanwhile, economy caused sectoral energy intensities in in 2011. Energy use per unit of industrial output
the Agriculture, Fishery and Forestry (AFF)dropped
2011, from the previous years contraction, as crop to 0.35 TOE/Php100,000 2.3 percent lower
to decline further in 2011. Energy use per
production recovered from El than l ast years 0.36 TOE/Php100,000 as production
For LCS, RE will grow at an annual average of The investment requirement to pursue and sector rebounded to Nio
a 2.6phenomenon
percent growth in unit of industrial output dropped to 0.35
that plagued the from country processes became more energy efficient and with
3.2 percent and will contribute an average undertake the sectoral targets for this plan 2011, thein previous
2010. On the
years demand
contraction, TOE/Php100,000 2.3 percent lower than last
share of 37.0 percent to the total energy supply. update is estimated at Php 2.80 trillion. As such, side, growth as in crop consumer
production spending doubled from
recovered to 6.1 El
Geothermal will grow at an average rate of 4.2 the government must intensify its initiatives percent, but was not enough to compensate for Figure 1. ENERGY INTENSITIES, 2000 2011
Nio phenomenon that plagued the
weakened investments and decline in international
percent contributing an average share of 64.0 to promote and showcase the various energy country in 2010. On the demand side,
trade.
percent of total RE. Meanwhile, hydro will exhibit investment opportunities with the private growth in consumer spending doubled

3.5 percent average growth rate and with an sector. to 6.1 percent, but was not enough to
ENERGY INTENSITY
average share of 15.0 percent (total RE) within compensate for weakened investments
the planning period. Biomass will demonstrate Considering the vulnerability of the energy The lackluster and decline in international
performance of the trade. domestic
11.2 percent average share of RE. However, sector to conditions like extreme weather economy in 2011 was mirrored in the countrys
biomass supply will be on a downward trend by patterns, an energy sector-wide climate change energy levels, ENERGY INTENSITY
as intensities registered negative
the end of the planning period. Combined share adaptation strategy is envisioned to be put growths for the current year. Oil intensity suffered
of solar and wind will be almost 1.0 percent and in place. Said framework aims to address the the biggest decline of 9.3 percent to 1.7 barrels per
The lackluster performance of the
will exhibit an annual average growth rate of climate change impacts in energy systems, such domestic economy in 2011 was mirrored
20.4 percent. as power transmission and distribution systems, 3 in the countrys energy levels, as
GDP figures are as of January 2011 National Accounts of the
fuel distribution and renewable energy systems. intensities
Philippines, registered
National Statistical Coordination negative growths for
Board (NSCB)
4
2000 prices
the current year. Oil intensity suffered the
PHILIPPINE ENERGY PLAN 2012-2030 13
biggest decline of 9.3 percent to 1.7 barrels
per one hundred thousand pesos of real GDP years 0.36 TOE/Php100,000 as production 4

processes became more energy efficient


3 GDP figures are as of January 2011 National Accounts of
and with production levels of non-energy
the Philippines, National Statistical Coordination Board
(NSCB) intensive industries increased more rapidly
4 2000 prices

12 PHILIPPINE ENERGY PLAN 2012-2030 PHILIPPINE ENERGY PLAN 2012-2030 13


energy production declined by 0.8 percent and 3.4
The countrys aggregate oil production (including
percent, respectively. Meanwhile, natural gas
condensate) dropped by 8.7 percent, from its year
production from the Malampaya well went up by
ago level of 0.92 MTOE (7,954. 3 MB) to 0.84 MTOE
production levels of non-energy intensive industries 8.0 percent in 2011. (7,397.6 MB) in 2011, as domestic crude oil
increased more rapidly than energy-intensive production plummeted by 24.0 percent due to the
sectors. The Services sector likewise experienced a suspension of the production of Galoc field since
than energy-intensive sectors. The Services ENERGY PER CAPITA INDIGENOUS ENERGY
reduction in energy intensity of 4.7 percent from ENERGY PER CAPITA Figure 4. TOTAL PRIMARY ENERGY SUPPLY MIX (in Percent),
November 2011 to give way for repairs and upgrade
production
sector likewise levels experienced
of non-energy aintensive reduction industries
in 2011 and 2010
0.37 TOE/Php100,000 in 2010 to 0.35 In 2011, the amount of energy consumed per being undertaken in the Floating Production
increased
energy in intensity more rapidly
of 4.7can percent than energy-intensive
from 0.37 TOE/ Total indigenous energy production grew vessel, as
TOE/Php100,000 2011, which be attributed In 2011, the amount of energy consumed per Storage and Offloading Rubicon Intrepid
sectors. The in
Php100,000 Services
2010 sector
to 0.35 likewise
TOE/Php100,000 experienced a person was reduced to 0.42 TOE/person, 1.0 2011 from 23.0 MTOE in 2010 to 23.6 MTOE in
to intensified energy conservation in most person was reduced to 0.42 TOE/person, 1.0 well as the looming depletion of most oil fields. On
inreduction
2011, in energy intensity of 4.7 percent from percent lowerPER
ENERGY than the previous years level,
CAPITA
establishments. On which canhand,
the other be attributed to intensified
the AFF sector percent lower than the previous years level, as 2011. The growth
the other hand, ina domestic supply increase
3.6 percent is in
0.37 conservation
TOE/Php100,000 in 2010 to On 0.35 as population
grew faster than that of total
registered energythe biggest decline in in mostuestablishments.
energy se per unit population grew faster than that of total energy attributed
condensate, to thewhich higher is production
derived from output,
the production
TOE/Php100,000
the other hand, percent, in 2011,
the AFF sector which can be attributed
theuse. Similarly, oil per the
energy In
use. 2011, amount of energy consumed per
of output at 15.2 from registered
0.05 capita fell by 7.9 percent to andof consequently
natural gas, was increased
posted from contribution,
0.51 MTOE (4,894.8
to intensified energy conservation in most person was reduced to 0.42 TOE/person, 1.0
TOE/Php100,000 biggestlast decline year in
to energy use per unit of output1.05 barrels per preson (BBL/person) from last
0.04 TOE/Php100,000 of coal,
MB) inatural
n 2010 to gas, geothermal,
0.53 MTOE (5,072.0 hydro and
MB) in 2011.
establishments. On the other hand, the AFF sector Similarly, percent
oil perlower
capita than
fellthe
by previous
7.9 percent years
to level, as
in 2011, as the production from fishery sub-sectors,
at 15.2 percent, from 0.05 TOE/Php100,000years 1.14 BBL/person, indicating a reduction in oil
biodiesel. On the other hand, output from
registered the biggest decline in energy use per unit 1.05 barrels population
per preson (BBL/person) from last energy
grew faster than that of total
which generally
last used tomore energy, were relatively consumption per person. Meanwhile, electricty per B. sources Coal for solar power, biomass and
of year
output 0.04 at TOE/Php100,000
15.2 percent, in from 2011, as 0.05 use. BBL/person,
Similarly, oil per capita fell by 7.9 percent to local
lower than the the production
previous year. from whichcapita years 1.14
remain unchanged from indicating a reduction
the previous years
TOE/Php100,000 last fishery
year to sub-sectors,
0.04 TOE/Php100,000 1.05 barrels per preson (BBL/person) from last bioethanol decreased by 3.4 percent, 0.8
generally used more energy, were relatively in
level oil
of consumption
0.73 mega-watt per person.
hour per Meanwhile,
person The and
percent countrys
71.0 percent, total respectively.
indigenous coal supply
in 2011, as the production from fishery sub-sectors, years 1.14 BBL/person, indicating a reduction in oil
ENERGY ELASTICITY (MWh/person),
electricty per attributed
capita to intensified
remain unchanged campaigns from accounted for 15.4 percent of the total indigenous
lower
which than the previous
generally used more year.energy, were relatively consumption per person. Meanwhile, electricty per
production (equivalent to 9.2 percent of the TPES).
lower than the previous year. capita remain 2000 unchanged from the previous years Fossil Fuels
The sluggish growth of both energy and economic Figure 3. ENERGY PER CAPITA, 2011 Local coal production reached 3.6 KTOE (6.9 MMT6),
ENERGY
ELASTICITY level of 0.73 mega-watt hour per person 3.5 percent higher as compared to the previous
output in 2011 put energy-to-GDP elasticity at 0.31,
ENERGY ELASTICITY (MWh/person), attributed to intensified campaigns A. years
Oil level of 3.5 KTOE (6.7 MMT). This can be
albeit slightly higher than its year-ago level of 0.19. 2010
sluggish growth of both energy and
The
Similarly, oils elasticity for 2011 was higher at 1.58 attributed to the gain in the production of Semirara
The sluggish
economic growth 2011 of both energy and economic Figure 3. ENERGY PER CAPITA, 2000 2011
vis--vis the previous output years in 0.62, while put energy-to-
electricity TheMining countrys aggregate
Corporation, oil continues
which productionto be the
output in 2011 put energy-to-GDP elasticity at 0.31,
GDP elasticity at 0.31,
elasticty dropped to 0.52, from albeit last slightly higher
years 1.23, (including
major coal condensate)
producer in dropped by 8.7 Semirara
the country.
albeit slightly higher than its year-ago level of 0.19.
than its year-ago level of 0.19. Similarly, percent, from its
These data further affirm that changes in economic contributed a byear
ulk sago
hare level
of 9of 0.92
4.0 MTOE
percent of the total
Similarly, oils elasticity for 2011 was higher at 1.58
output have oils elasticity for
relatively 2011 was
negligible higher
effect on atthe 1.58 local 3coal
(7,954. MB)production,
to 0.84 MTOE which is equivalent
(7,397.6 MB) to 3.4
vis--vis the previous years 0.62, while electricity
vis--vis the previous years 0.62, while
demand for energy and electricity (whose elasticity MTOE as
in 2011, (6.5 MMT). In
domestic addition,
crude private producers in
oil production
elasticty dropped to 0.52, from last years 1.23,
level is generally
electricity less elasticty
than 1.0) , while oil
dropped demand
to 0.52, from Zamboanga del Sur increased their total production
plummeted by 24.0 percent due to the
These data further affirm that changes in economic
responds last quicker
years to
1.23, changes
These in GDP
data further (whose
affirm suspension of the production of Galoc field
output have relatively negligible effect on the
elasticity is usually
that changes greater in than 1.0). output have
economic since
6
November 2011 to give wayat for repairs
BTU/lb
demand for energy and electricity (whose elasticity Million metric tons, Run-of-Mine (ROM) 10,000
relatively negligible
level is generally effect
less than on the, while
1.0) demand oil demand and upgrade being undertaken in the
Figure 2. ENERGY for energy and electricity (whose
responds quicker to changes in GDP (whose
ELASTICITIES, 2000 2011 elasticity Floating Production Storage and Offloading
level is generally
PHILIPPINE ENERGY PLAN 2012-2030 15
elasticity is usually less thanthan
greater 1.0),1.0). while
oil Rubicon Intrepid vessel, as well as the
Oil remained as the countrys major energy looming depletion of most oil fields. On the
for rural electrification for 2011.

Figure 2. ENERGY ELASTICITIES, 2000 2011 source, accounting for 31.4 percent of the primary other hand, a 3.6 percent increase in condensate,
the previous years level of 0.73 mega- energy supply mix, followed by geothermal with which is derived from the production of natural
watt hour per person (MWh/person), 21.7 and coal with 19.6 percent share. gas, was posted from 0.51 MTOE (4,894.8 MB) in
2011 Pattributed RIMARY
for rural to Eelectrification
NERGY
intensified SUPPLY
campaigns
for 2011. for rural 2010 to 0.53 MTOE (5,072.0 MB) in 2011.

electrification for 2011.
The countrys total primary energy supply (TPES) in Total primary oil supply dropped by 9.0 percent

2011 grew slowly at a rate of 0.3 percent reaching to 12.4 MTOE in 2011, from 13.6 MTOE in 2010, B. Coal
2011 2011 PRIMARY
PRIMARY ENERGY
ENERGY SUPPLY
SUPPLY while total primary coal supply increased by
39.4 MTOE compared to the 2010 level of 39.3
10.0 percent to reach 7.7 MTOE from 7.0 MTOE in The countrys total indigenous coal supply
MTOE5 (Figure 4). The sluggish movement in total
The countrys total primary energy supply (TPES) in
supply The was countrys due to the total 3.4 primary
percent energy drop in supply
net 2010. Major renewable energy sources likewise accounted for 15.4 percent of the total indigenous
2011 grew slowly at a rate of 0.3 percent reaching
imports, (TPES) from 16.3 in 2011 MTOE grew slowly
in 2010 at a MTOE
to 15.8 rate ofin 0.3 registered increases in production levels during production (equivalent to 9.2 percent of the
39.4 MTOE compared to the 2010 level of 39.3
percent reaching 39.4 MTOE compared to the year, led by wind energy with 42.9 percent, TPES). Local coal production reached 3.6 KTOE
MTOE5 (Figure 4). The sluggish movement in total
5 the supply
TPES for 2010
2010 level
was
is reflective
ofchanged
due
of the
39.3 MTOE
to the
5
(Figure
3.4 percent
of methodology
4). in net
drop
used in
followed by hydro and geothermal with 21.0 (6.9 MMT6), 3.5 percent higher as compared
accounting The sluggishCivil
International
imports, movement
from Aviation in was
16.3 which
MTOE total supply
in applied
2010 was MTOE in
starting
to 15.8 percent and 0.1 percent, respectively, while to the previous years level of 3.5 KTOE (6.7
2011.
due to the 3.4 percent drop in net imports, biomass and solar energy production declined MMT). This can be attributed to the gain in the
from 5
16.3 MTOE in 2010 to 15.8 MTOE in by 0.8 percent and 3.4 percent, respectively. production of Semirara Mining Corporation,
TPES for 2010 is reflective of the changed of methodology used in
PHILIPPINE ENERGY PLAN 2012-2030 2011, while domestic production went14
accounting International Civil Aviation which was
up
applied starting
Meanwhile, natural gas production from the which continues to be the major coal producer in
by 2.9 2011. percent.
Malampaya well went up by 8.0 percent in 2011. the country. Semirara contributed a bulk share
demand responds quicker to changes in GDP 5 TPES for 2010 is reflective of the changed of methodology of 94.0 percent of the total local coal production,
(whose elasticity is usually greater than 1.0). used in accounting International Civil Aviation which was
PHILIPPINE ENERGY PLAN 2012-2030 applied starting 2011.
14 6 Million metric tons, Run-of-Mine (ROM) at 10,000 BTU/lb

14 PHILIPPINE ENERGY PLAN 2012-2030 PHILIPPINE ENERGY PLAN 2012-2030 15


which is equivalent to 3.4 MTOE (6.5 MMT). to the total indigenous energy supply in 2011 level of 106.7 KTOE, triggered by the significant percent to the primary energy supply in 2011.
In addition, private producers in Zamboanga (corresponding to 21.7 percent share to TPES). reduction in local ethanol production of 71.0 This is expected to increase with the additional
del Sur increased their total production to percent, from 5.53 KTOE in 2010 to 1.6 KTOE in 747 MW aggregate capacity of wind contracts
88.2 KTOE (0.17 MMT) in 2011, almost double B. Hydro 2011. A significant number of biofuels producers awarded during the year.
its 2010 level of 42.7 KTOE (0.08 MMT). in the country resorted to cease production
Likewise, Cebu reported 44.0 KTOE (0.08 MMT) The countrys hydropower resources operations due to their inability to cope with NET IMPORTS7
production in 2011, from 35.5 KTOE (0.07 MMT) contributed a 9.9 percent share to the total the market price competition. Unresolved
in 2010. In contrast, small scale mines exhibited indigenous energy supply in 2011 (equivalent issues on tariff of imported ethanol are another Net energy imports in 2011 accounted for 40.0
7
a considerable cut in production of 21.0 percent, to 6.0 percent share to TPES). Hydropower their inability
culprit to tocope with the biofuel
the declining market production
price NET IMPORTS
that percent of the total energy supply, reaching 15.8
from 78.4 KTOE (0.15 MMT) in 2010 to 61.9 production took a significant increase of 21.7 competition. led producers
Unresolved to issues
divert their on tariff
products of to the
MTOE, albeit 3.4 percent lower than the 2010
KTOE (0.12 MMT) in 2011. percent, from 1.9 MTOE in 2010 to 2.4 MTOE due imported sugar ethanol are another culprit
industry which posed a higher market level to the Net energy
of 16.3imports
MTOE. in 2011 accounted for 40.0
to the additional 91.0 MW capacity during the declining biofuel production that led
value for their yield. For the year 2011, only San producers to percent of the total energy supply, reaching 15.8
C. Natural Gas year. The increase in hydro energy production divert their products to the sugar industry which MTOE, albeit 3.4 percent lower than the 2010 level
Carlos Bioenergy Incorporated and Leyte Agri Net imported energy in 2011 is comprised of
posed a higher market value for their yield. For the of 16.3 MTOE. Net imported energy in 2011 is
is also attributed to favorable weather condition Corporation continued to operate with a total 73.3 percent oil and oil products; 26.0 percent
year 2011, only San Carlos Bioenergy Incorporated comprised of 73.3 percent oil and oil products; 26.0
Aggregate domestic natural gas production during the year, a respite from the El Nio that
and Leyte aggregate capacitycontinued
Agri Corporation of 49 million liters. Thus, the
to operate coal;coal;
percent and,and,
0.8 0percent biofuels.
.8 percent biofuels.
during the year is 3.3 MTOE or 140,367.6 plagued the country last year, immensely helped unstable domestic production necessitated
with a total aggregate capacity of 49 million liters.
million standard cubic feet (MMSCF), reflecting hydropower plants maintain their required 122.3unstable
KTOE of imported
Thus, the domestic ethanol to sustain Figure 5. NET ENERGY PRODUCTS IMPORTATION (in Percent),
production
an increase by 8.0 percent compared to the water level in reservoir. necessitated the122.3
required kTOE supply, translating
of imported ethanol toto an
2011

previous years actual production of 3.0 MTOE sustain the increaserequired of 53.5
supply, percent in 2011to over
translating an its
(130,008.5 MMSCF). The increase in volume C. Biomass increase of year-ago level of
53.5 percent in 78.5
2011 KTOE.
over its year-ago
of production was due to high off-take of the level of 78.5 kTOE.
countrys three gas power plants, despite the Biomass remains a major part of the indigenous On the other hand, local production of
implementation of the seven day shutdown in energy supply mix despite a 0.8 percent decrease On the other
Coco hand,
Methyllocal pEster
roduction
(CME) of Coco Methyl to
continued
the Malampaya facilities and the Ilijan power in its 2011 level of 4.9 MTOE, which corresponds Ester (CME) grow continued
at a steady to grow
rateat ofa 0.9
steady
percentrate of
from
plant during the second half of 2011. to a share of 30.7 percent and 20.7 percent of the 0.9 percent from 2010 to 2011.
2010 to 2011. As of 2011, there were nine As of 2011, there
countrys total RE and total indigenous energy were nine (9) out of 12 CME production facilities in
(9) out of 12 CME production facilities
Gas consumption for power generation reached supply, respectively. More than 99.0 percent of operation which are duly accredited by the
in operation which are duly accredited
3.1 MTOE (133,226.5 MMSCF), a 9.3 percent biomass supply is being used for final energy Department of Energy. During the year the
by the Department of Energy. During the
aggregate production capacity for CME amounts to
increase compared to year 2010 level. In 2011, consumption, while the remaining 1.0 percent year the aggregate production capacity
364.6 million liters.
natural gas contributed around 41 percent in being utilized for power generation exhibited for CME amounts to 364.6 million liters.

the Luzon generation mix. an increase of more than 100 percent due to the
E. Solar
installation of additional 45 MW biomass plant E. Solar Net oil importation declined by 9.0 percent,
Renewable Energy in 2011, bringing biomass installed capacity to a
Solar energy production decreased to 0.1 kTOE from 12.7 MTOE or 96,078.4 thousand barrels
Net oil importation declined by 9.0 percent, from
total of 83 MW. Solar energy production decreased to 0.1 KTOE
which is 3.4 percent lower compared to 2010 level 12.7 (MB)
MTOE inor 2010 96,078.4 to 11.5 MTOE
thousand (87,885.4
barrels MB)
(MB) in
A. Geothermal which
of 0.11 kTOE. is 3.4
While percent
solar energy lower has the compared
smallest to 2010 2010 into 2011. Total
11.5 MTOE oil imports
(87,885.4 MB) in decreased byoil 7.1
2011. Total
Furthermore, a total of 16 biomass projects contribution level to the
of 0.11energy
KTOE. mix, While
it is expected
solar energy that has the percent from 15.8 MTOE in 2010
imports decreased by 7.1 percent from to 15.8 14.7 MTOE
MTOE
Geothermal production went up by 0.1 percent were awarded during the year with more or less its contribution
smallest will contribution
increase with to the the energy
growing mix, it is in 2011. Bulk of the total imports was credited
in 2010 to 14.7 MTOE in 2011. Bulk of the total
from its 2010 level of 8.5 MTOE to 8.6 MTOE in 150 MW aggregate biomass capacities which number of expected
awarded that solar its
projects
contribution during the
will year.
increase with to crude
imports oil, posting
was credited to 59.2
crude percent share,59.2
oil, posting while
2011 and is still expected to increase for the next is expected to be contributed for the year and The expected
theincrease
growingmnumber ay be further
of awarded strengthened solar projects the remaining 40.8 percent is from
percent share, while the remaining 40.8 percent is the finished
years that will be brought by the six Geothermal the next years. With the implementation of the by the implementation
during the year. of the
Thepolicy
expected mechanisms
increase may be from oil
the finished Middle oil products. Middle East crudes
products. East crudes remained as the
Service Contracts awarded within the year in RE Law, biomass is expected to continuously under RE Law. remained a s t he c ountrys m ajor s ource o f c rude o il,
further strengthened by the implementation of countrys major source of crude oil, supplying
addition to those awarded in 2010. supplying 76.4 percent or 51,039
increase its share in the energy supply mix with the policy mechanisms under RE Law. 76.4 percent or 51,039 MB MB of the of the
totaltotal
crude
F. Wind crude mix, while crude from Russia (14,318 MB)
the emergent number of existing and operational mix, while crude from Russia (14,318 MB)
distributed 21.4 percent of the total crude mix and
Since most of the countrys high enthalpy biomass power facilities. F. Wind distributed 21.4 percent of the total crude mix
In 2011, production of wind energy showed a the remaining 2.2 percent was sourced from
geothermal resources have already been and the remaining 2.2 percent was sourced from
notable increase of 42.9 percent from its 2010 level Malaysia (1,485 MB). The 2011 import volume of
developed into commercial operations, D. Biofuels In 2011, production of wind energy showed Malaysia (1,485 MB). The 2011 import volume
of 5.3 kTOE. During the year, wind energy has a finished petroleum products dropped by 15.6
thereby making the Philippines second in a notableof increase
minimal contribution of 42.9
0.02 percent to the percent
primary from its
geothermal installed capacity in the world, In 2011, biofuels production posted a negative percent from 54,607 MB of 2010 to 46,065 MB,
2010 level of 5.3 KTOE. During the year, wind 7 The sum of imports and stock change (+/-) less exports
energy supply in 2011. This is expected to increase which was partly due to high crude import volume
geothermal resources contributed 36.2 percent growth of 2.9 percent, from its previous years energy has
with the additional a minimal
747 MW aggregate contribution
capacity of of 0.02 and international bunkers (aviation and marine)
and increased refinery production output during the
wind contracts awarded during the year. period. Exports increased by 7.6 percent, with other

16 PHILIPPINE ENERGY PLAN 2012-2030 P H I L I P P I7 N E sum
The E Nof
ER G Y and
imports P L stock
A N change
2 0 1 2(+/-)
-20 30
less exports and 17
international bunkers (aviation and marine)
of finished petroleum products dropped by 15.6 losses8. Diesel accounted for the bulk of the Figure 7. ELECTRICITY GENERATION BY FUEL TYPE (in TWh),
industrial
demand apurposes t 34.7 percent, reached followed 5.9 bMTOE y the residential
percent from 54,607 MB of 2010 to 46,065 MB, refinery product output with 37.4 percent share, 2010-2011 which is slightly higher than
sector at 26.1 percent share, and industry with 25.9 its previous
which was partly due to high crude import followed by fuel oil and gasoline, with shares year level. sMajor
percent hare. services and commercial
volume and increased refinery production of 19.6 percent and 19.0 percent, respectively.
establishments, on the other hand,
output during the period. Exports increased Aviation turbo or Jet A-1 contributed 9.0 percent In t erms
registered a 2.9 percent o f f uel t ype, petroleum
increase in products
energycontinued
demand at 34.7 p ercent,
to dominate f ollowed b y t he r esidential
the countrys total final energy
by 7.6 percent, with other petroleum products share, while LPG and kerosene each put in 6.7 Figure 7. ELECTRICITY GENERATION BY FUEL TYPE (in TWh),
demand to 2.7 MTOE.
2010-2011 sector at 26.1 consumption,
percent share, accounting and industry with
for 25.9 share of 48.6
a bulk
taking the largest share. Oil products that were percent and 1.2 percent shares to total refinery percent share. percent, while biomass and electricity registered
exported to various countries such as Korea, output. Naphtha had the least share with 2.0 Transport maintained its top position in
petroleum products taking the largest share. Oil shares to total refinery output. Naphtha had the almost the same contribution of 21.1 and 21.0
Singapore and Taiwan include fuel oil, naphtha percent, while the remaining portion comprised In terms of fterms uel type, of phaving etroleum theplargest roducts share to total
products that were exported to various countries least share with 2.0 percent, while the remaining percent, respectively. continued
and other
such as Korea, petroleum
Singapore products.
and Taiwan include fuel othercomprised
portion non-energy products.
other non-energy products. to dominate final
the energy
countrys demand total atfinal 34.7energy percent,
oil, naphtha and other petroleum products. consumption, followed
accounting
Total by the
consumption for residential
a bulk
of oil share sector
and of at 26.1 dropped
oil 48.6
products
The countrys coal importation exhibited a Figure 6. REFINERY PRODUCTION (in Percent), 2011 percent, while percent biomass share, and
and electricity
by 1.4 percent reaching 11.2 MTOE, p25.9 industry registered
with ulled down by
minimal decline of 0.03 percent from 2010
The countrys coal importation exhibited a minimal almost the percent same contribution
share. in gasoline
the reduction of 21.1 and and fuel
21.0 oil usage of 1.4
decline of level
0.03 of 5.8 MTOE
percent from (10,962.5
2010 level MMT).
of 5.8 Indonesia
MTOE percent, respectively.
percent and 21.3 percent, respectively, considering

(10,962.5 was theIndonesia
MMT). countryswas mostthe significant trading
countrys most In that
terms the
of combined fuel type, demand petroleum levels
products for these fuels
Total consumption of oil for and 34.8
oil products dropped
significant partner
trading accounting
partner accounting for
for more than 98.0 percent m ore t han continued to dominate the countrys the
account percent of total total oil
98.0 percent of total
the coal
total importation
coal importation in Australia
2011. by 1.4 percent consumption.
reaching 11.2 MUtilization TOE, pulled of down b y
kerosene likewise
of the in 2011. final energy consumption, accounting
Australia supplied
supplied around around 1.2 percent of the the reduction contracted
in gasoline by and fuel percent
10.2 oil usage of 1.4 132.3 kTOE
reaching
1.2 percent of the countrys
utilization owns the largest contribution by 41.4 for a bulk share of 48.6 percent, while
percent and 21.3 percent, respectively, considering
countrys coal coal requirement, with
requirement, with the remaining the remaining 1.0 1.0 biomass from
and last electricity years 147.24 registered kTOE, almostwhile use theof aviation
percent sourced from Vietnam. On the other hand, TOTAL
percent with FINAL
8.6 MTOE. ENERGY ThisCisONSUMPTION
followed by coal that the combined demand
gasoline plunged levels for
by 30.4 21.0 these
percent fuels to 2.5 kTOE in
percent sourced from Vietnam. On the other with 28.0 percent (5.8 MTOE) while natural gas account samefor contribution
34.8 percent of 21.1 of and the total percent,
oil
coal exports fell by more than 33.0 percent, to 1.4 2011. Meanwhile, three petroleum products
hand, coal exports fell by more than 33.0 (3.1 Given MTOE) the and feeble hydro (2.4 MTOE)
economic comprised
state of respectively.
2011, consumption.
TFEC Utilization of kerosene likewise
MTOE (2,736.3 MMT). China is considerably the registered increases in demand for 2011 led by jet
percent, to 1.4 MTOE (2,736.3 MMT). China 15.0 percent andMTOE,
11.4 percent, respectively. The contracted by fuel
10.2 percent reaching growth 132.3 okTOE
biggest consumer of Philippine coal despite its reached 23.0 a 0.6 percent drop from the with a double-digit f 30.8 percent, LPG
is considerably
demand weakening thepercent
by 13.9 biggestto consumer
1.4 MTOE of rest comprised
previous wind,
years solarof
level and23.1
biomass. MTOE. This Total
from is consumption
last years 147.24
with a 0.6 kTOE, of
percent
oil
while and
use
growth,
oilaviation
of products
and diesel, which
Philippine coal despite its demand weakening TOTAL FINAL ENERGY CONSUMPTION
attributed to the decline in energy use for the gasoline dropped
two plunged by by
1.4 30.4 percent percent reachingto 2.5 kTOE
11.2 MTOE,in
(2,681.6 MMT) from 1.6 MTOE (3,115.5 MMT) in consistently remain as the most widely-consumed
biggest energy-consuming sector transport 2011.
and Meanwhile, bythree petroleum products
by 13.9 percent to 1.4 MTOE (2,681.6 MMT)
2010. On the other hand around 2.0 percent of the TOTAL
Given the feeble FINAL ENERGY
economic
residential.
CONSUMPTION
state of 2011, TFEC
pulled
registered
down
oil product
increases in
thewith
demand
reduction50.8 percent
for 2011
in gasoline
led
share of
by jet
andthe total oil
total coal from
exports 1.6wMTOE (3,115.5
ere shipped to TMMT)
hailand. in 2010. On fuel oil usage consumption, of 1.4 percent g rew b y 1 and .6 p 21.3 percent,
ercent.
reached 23.0 MTOE, a 0.6 percent drop from the fuel wrespectively,
ith a double-digit growth of 3that 0.8 percent, LPG
the other hand around 2.0 percent of the total considering the combined
previous years
Given level
the of
feeble 23.1
economic MTOE. state This
Energy consumption in the transport sector with of is
2011, TFEC a 0.6 percent growth, and diesel,
coal exports were shipped to Thailand.
Ethanol imports in 2011 increased by 10.9 percent, attributed to the decline
went
demand levels for these fuels accountwhich for 34.8
from 107.9 kTOE in 2010 to 119.3 kTOE. The
reached
down by in
23.0 MTOE,
0.7 energy
percent ause for the two
0.6reaching
percent dropMTOE,
8.0 from
consistently
as
percent remain
Figure
of the
8. as
FINAL
total the most
ENERGY
oil widely-consumed
consumption.
CONSUMPTION BY SECTOR (in MTOE)
Utilization
biggest energy-consuming
theuncertainties
previous years sector international
level
in the transport
of 23.1 MTOE. and market
Thisoil is product with 50.8 2010-2011
pulled percent share of the total oil
increase Ethanol
may be imports
attributed in 2011 to non-operation
increased by of 10.9 residential. attributed of kerosene likewise contracted by 10.2 percent
Power Generation to the decline in energy use for the
down oil consumption. Similarly, energy demand in consumption, grew by 1.6 percent.
bioethanol producers
percent, fromin 107.9the country
KTOE indue 2010 to to
higher
119.3 KTOE. reaching 132.3 KTOE from last years 147.24
production two biggest energy-consuming sector transport
the residential sector was cut by 2.0 percent to 6.0
Thecost
increase and may
consequently,
be attributed the
to markets
non-operation of Power Generation Energy consumption in the transport sector went
preference for lower-priced imported Total energy requirement from the production of and residential.
MTOE in 2011, from last years 6.1 MTOE, as all
bioethanol producers in the bcountry ioethanol. due to higherelectricity in 2011 accounted for 20.6 MTOE which down by 0.7 fuels
percent
utilized reaching 8.0 MTOE, registered
by households as Figure 8. FINAL ENERGY CONSUMPTION BY SECTOR (in MTOE),
lower 2010-2011
production cost and consequently, the marketstranslated Total energy requirement
to electricity output from thepercent
of 28.8 production or uncertainties consumption
in the international l evels f market
or 2 011. M pulled
eanwhile, d espite its
Energy consumption in the transport
TRANSFORMATION S ECTOR
preference for lower-priced imported bioethanol. 5.9 ofMTOE electricity in 2011 accounted for 20.6 MTOE
(69.1 TWh). This is slightly lower by 0.4 down oil consumption. Similarly, energy demand in
1.3 percent
sector went share downto TFEC,
by 0.7 energy
percent use in the AFF
which translated to electricity output of 28.8
percentage points from the 29.2 percent electricity the residential sector was cut by 2.0 percent to 6.0
sector
reaching plummeted
8.0 MTOE, by 13.0
as uncertainties percent to in302.3 kTOE,
Oil Refining TRANSFORMATION SECTOR percent
output or 5.9
in 2010 MTOE
with 5.8 (69.1
MTOE TWh). This
(67.7 TWh) is slightly
vis-a-vis MTOE in 2011, from last years 6.1 MTOE, as all
thefrom its year-ago level of 347.4 kTOE. On the other
fuels utilized international
by households market
registered pulled down
lower
20.0 MTOE
lower by of
0.4energy
percentage input. points
For 2011,
from electricity
the 29.2 hand, energy consumed for industrial purposes
The total marketable products accounted 96.8 oil
consumption levels consumption.
for 5.9
2011. Similarly,
Meanwhile, despite energyits
Oil Refining generated
percent electricity from fossil
output fuels
in 2010constituted
with 5.8 MTOE 71.6 reached MTOE which is slightly higher than its
percent (8.8 MTOE) of the refinery crude run (9.1 percent, equal to 4.3 MTOE, while renewable 1.3 percent demand
share to in theenergy
TFEC, residential use in sector
the AFF
previous year level. Major services and commercial
was
(67.7 TWh) vis-a-vis 20.0 MTOE of energy input.
MTOE) in 2011, resulting to increased refinery energy sources chipped in generated
28.4 percent or 1fossil
.7 MTOE cutestablishments, on the other hand, registered a 2.9
sector plummeted by 2.0 percent
by 13.0 to 6.0
percent to MTOE in 2011,
302.3 kTOE,
utilization The total65.0
from marketable
percent products
in 2010 accounted For 2011,
to 69.1 96.8(Figure electricity from fuels
7). In terms of fuel input to power from its year-ago level of 347.4 kTOE. On the other
from last years 6.1
percent increase in energy demand MTOE, as all tfuelso 2.7 MTOE.
percent (8.8 MTOE) of the refinery
percent in 2011. About 2.8 percent (0.26 MTOE) crude run constituted 71.6 percent, equal to 4.3 MTOE, hand, energy consumed for industrial purposes
utilized by households registered lower
comprised (9.1refinery
MTOE) fuel in 2011, and resulting to increasedgeneration,
losses8. Diesel while renewable geothermal energy steam utilization
sources chipped owns
in the
28.4
reached 5.9 consumption
MTOE which is slightly higher than its in terms of
largest contribution by 41.4 percent with 8.6 MTOE. Transport levels
maintained for 2011. Meanwhile,
its top position
refinery utilization from 65.0
accounted for the bulk of the refinery product percent in 2010 percent or 1.7 MTOE (Figure 7). In terms of fuel previous year level. Major services and commercial
This is followed by coal with 28.0 percent (5.8 despite
having itsthe 1.3largest
percent share
share to tototal
TFEC, final energy
to 69.1 percent in 2011. About 2.8 percent input to power generation, geothermal steam
output with 37.4 percent share, followed by fuel oil establishments, on the other hand, registered a 2.9
MTOE) while natural gas (3.1 MTOE) and hydro (2.4 energy use in the AFF sector plummeted
(0.26
and gasoline, MTOE)
with shares comprised
of 19.6 percent refinery fuel andMTOE) comprised 15.0 percent and 11.4 percent,
and 19.0 percent increase in energy demand to 2.7 M TOE. from
8 The total marketable products and refinery fuel and losses by 13.0 percent to 302.3 KTOE,
percent, respectively. Aviation turbo or Jet A-1 respectively.
may not The
equal rest
to 100comprised
percent due to wind,
variation solar and
of heating itsPHILIPPINE
year-ago level of 347.4 KTOE. On
contributed 9.0 percent share, while LPG and value of each petroleum products as against the crude oil Transport maintained ENERGY
its top position PLAN 2012-2030
in terms of 19
biomass. the other hand, energy consumed for
kerosene each put in 6.7 percent and 1.2 percent heating value. having the largest share to total final energy

8 The total marketable products and refinery fuel and losses may not
equal to 100
18 percent due
PH to Ivariation
L I P P Iof
Nheating
E EN value
E Rof Y P L A N 2 0 1 2 - 2 0 3 0
Geach PHILIPPINE ENERGY PLAN 2012-2030 PHILIPPINE ENERGY PLAN 2012-2030 19 19
petroleum products as against the crude oil heating value.
KTOE, while use of aviation gasoline plunged by from last years 69.7 KTOE due to the increased Despite sustaining its position as the countrys transport consumption by 2.0 percent in the
30.4 percent to 2.5 KTOE in 2011. Meanwhile, usage in the transport and industry sector. most energy-intensive sector in 2011, the same year, despite a measly contribution of 0.1
three petroleum products registered increases Industrial demand for natural gas is mainly from transport sectors aggregate energy consumption percent to the sectors over-all energy demand.
in demand for 2011 led by jet fuel with a double- Pilipinas Shell , which utilizes gas for refinery slightly declined by 0.7 percent compared to
On the other hand, the use of biomass as fuel TOTAL FINAL ENERGY CONSUMPTION BY
digit growth of 30.8 percent, LPG with a 0.6 as processing fuel for gas turbine engines and its year-ago level of 8.0 MTOE. Road transport Oil (petroleum) remained as the sectors
declined by 1.4 percent from 4.9 MTOE in 2010 to SECTOR
4.8 MTOE percent
in 2011 growth, and in
as changes diesel, which consistently supplemental fuel for 4.7 percent reaching merely 0.7 MTOE. In contrast,
the households
furnaces. Natural gas demand, accounted
On the other hand, for LPG more than 87.0in percent
consumption the sector primary fuel accounting for a hefty share of
remain as the most
fuel preference reflect a decrease in biomass widely-consumed oil consumption for transport reached
domestic aviation 1.1 posted
KTOE, a double-digit growth of ofsignificantly
the total transport, dropped down
decreased by 38.0 percent, as to 7.0 MTOEalmost 97.3 percent amidst the 0.9 percent reduction in
Transport Sector
demand of product with 50.8
2.6 percent. percent
However, share use
biomass of the for total oil as utilized by 41 CNG. Another 20 units
29.9 percent, of CNG
bringing demand level to 0.3 MTOE. which is 1.3 percent lower than its previous consumption. Among petroleum products, diesel
5,000 units of LPG-fed taxis was phased-out. Most
consumption, grew by 1.6 percent. This is mainly due to the booming domestic air 4.7 percent reaching merely 0.7 MTOE. In contrast,
Energy consumed for water transport also has theOn
of these taxi units are year 1996 models with 2011 the other
largest hand, LPG consumption
contribution of 53.8 percent in the sector
industrial and commercial purposes went up by 1.8 Despite sustaining its position as the countrys most as
buses is expected to come on stream as soon level.
domestic aviation posted a double-digit growth
percent and 1.7 percent, respectively. franchises were
energy-intensive released.
sector in travel
2011, industry of the country which grew by 11.6
the transport went last down
operation by 4.7 year which were
percent reaching already merely 0.7 in followed by gasoline with 36.0 percent, despiteas almost
included of significantly decreased by 38.0 percent,
29.9 percent, bringing demand level to 0.3 MTOE. 5,000 units of LPG-fed taxis was phased-out. Most
On the other hand, the use of biomass as fuelsectors aggregate energy consumption aslightly percent i n 2 011 s reported by the Civil Aeronautics MTOE. the two (2) - year domestic
In contrast, extension aviation for LPG posted conversion.
a both fuels exhibiting a decline in consumption
Board. Similarly, the BYpublics steady patronage of This
Thus, is these
mainly 1996 due to the
model booming
taxi units were domestic air
eventually of these taxi units are year 1996 models with 2011
Electricity consumption reached 4.8 MTOE in 2011,
declined by 1.4 percent from 4.9 MTOE indeclined TOTAL by FINAL ENERGY
0.7 percent CONSUMPTION
compared to its year-ago double-digit growth of 29.9 percent, bringing of 0.8 percent and 1.3 percent, respectively.
the transport
countrys demand, light rail systems boosted rail travel
dropped industry of
from tothe the country
auto-LPG which grew by 11.6 last operation year which were already included in
a 1.5 percent increase from last years level, due to
2010 to 4.8 MTOE in 2011 as changes in thelevel SECTOR
of 8.0 MTOE. Road demand level 0.3 MTOE. fThis leet. is
However,
mainly ddue espite
percent i n 2 011 a s r eported b y t he C ivil A eronautics to Biofuelsthe two (2) - year extension for LPG conversion.
the growth in consumption
households fuel preferenceof various reflect a decreaseaccounted for more than 87.0 percent of the total by 2.0 percent in the same
industrial transport consumption these
toBoard. the booming developments,
Similarly, domestic the airDOE
the publics travel
steady
continues
industry Thus, these to
continue figure prominently in the
processes indicated by the 4.1 percent uptick in the year, despite a measly contribution of 0.1 percent campaign for auto-LPG and to date, patronage of
31 auto-LPG 1996 model taxi units were eventually
Transport Sector
in biomass demand of 2.6 percent. However,transport, dropped down to 7.0 MTOE which is 1.3 ofthe thecountrys
country which light grew
rail by 11.6
systems percentrail transport
boosted sectors
dropped f energy
rom t he a demand,
uto-LPG f as Hethanol
leet. owever, despite
sectors electricity to the sectors over-all energy demand. conversion shops with PNS license are being
biomass demand. use for Meanwhile,
industrial electricity and commercialpercent lower than its previous level. Energy intransport
2011 asconsumption reported byby the 2.0 Civil
percent Aeronautics
in the same and biodiesel these recorded
developments, increasesthe in consumption
DOE continues to
owned more than half (52.2 percent) of the consumed for water transport also went down by monitored by the DOE to ensure safe operation and
purposes went up by 1.8 percent and 1.7 Board.
year, Similarly,
despite
standards the
compliant publics
a measly conversion steady patronage
contribution of of gasoline
0.1 percent of
fed 10.1 percent and 9.9 percent, respectively.
campaign for auto-LPG and to date, 31 auto-LPG
commercial sectors total energy demand. Figure 11. ENERGY CONSUMPTION OF THE TRANSPORT
percent, respectively. Figure 9. TOTAL FINAL ENERGY CONSUMPTIONSECTOR BY SECTOR ofto the
t countrys
he s ectors o light
ver-all
motor vehicles to auto-LPG. rail
e systems
nergy d emand. boosted rail This may be attributed
conversion shops with to PNS the continued
license are being
BY SUB-SECTOR (in MTOE), 2011
(in Percent), 2011
implementation,
monitored b y especially
t he D OE t o with
e nsure the higher
safe operation and
Coal consumption posted a paltry 0.4 percent
standards compliant conversion of gasoline fed
increase, Electricity
from its 2010 consumption reached
level of 1.8 MTOE. 4.8
This is The DOE
Figure 11. ENERGY has continued
CONSUMPTION with
OF THE campaign to target
its TRANSPORT blend of 10.0 percent for biodiesel
MTOE in 2011, a 1.5 percent increase promote the use of alternative fuels especially in and percent for ethanol as mandated by the
SECTOR BY SUB-SECTOR (in MTOE), 2011 motor v ehicles t o a uto-LPG.
attributed to minimal movement in coal demand of
from last years level, due
the cement manufacturing sector, as to the growth
construction public transport services. To date, there are 61 Biofuels Law.
registered CNG public utility buses (PUB) in the The DOE has continued with its campaign to
activities in(in consumption
which cement of is a various
primary industrial
building
country, of which 41 units are commercially On the other promote the hand, use of alternative fuels especially in
material) slowed down due to government percent
processes indicated by the 4.1 under LPG consumption in
spending ouptick in the sectors electricity demand.
n infrastructures. running. Likewise, the DOE also renewed the the public transport services. To date, there are 61
sector significantly decreased by 38.0
Certificate of Accreditation (CA) of four (4) CNG percent, as almost registered CNG public utility buses (PUB) in the
Meanwhile, electricity owned more than 5,000 units of LPG-fed taxis
Biofuels (CME
half a(52.2 nd ethanol)
percent) consumption
of the rcommercial eflected a transport players and the Certificate of Authority to was phased-out. which country, of 41 units are commercially
Most of these taxi units are
Import (CAI) was likewise issued to RRCG Transport running. Likewise, the DOE also renewed the
modest growth 6.6 percent reaching 221.6 kTOE in
sectors total energy demand. yearCertificate
1996 models with 2011 last operation
System and N. Dela Rosa Liner. As another feat in of Accreditation (CA) of four (4) CNG
2011 from 207.8 kTOE in 2010, as oil companies yeartransport players and the Certificate of Authority to
which were already included in the
consistently CNG infrastructure development, the DOE issued a
Coalcomply
consumption on the posted mandated a paltry biofuel
0.4 twoImport (CAI) was likewise issued to RRCG Transport
(2) - year extension for LPG conversion.
blends. Certificate of Accreditation to the PNOC-EC on 28
percent increase, from its 2010 level of June 2011 as a qualified participant to the NGVPPT Thus, theseand
System 1996 model
N. Dela Rosa taxi units
Liner. were feat in
As another

1.8 MTOE. This is attributed to minimal nd
for the putting up of the 2 daughter station in eventually
CNG dropped
infrastructure from the
development, auto-LPG the fleet.
DOE issued a
Demand for natural gas reached 77.7 kTOE in 2011,
movement in coal demand of the cement Oil (petroleum) remained as the sectors primary Batangas City. However, despite
Certificate these developments,
of Accreditation the on 28
to the PNOC-EC
an 11.5 percent upturn from last years 69.7 kTOE
manufacturing sector, as construction Figure 10. TOTAL FINAL ENERGY CONSUMPTION fuel accounting BY FUEL for a hefty share of 97.3 percent DOEJune 2011 as a qualified participant to the NGVPPT
continues to campaign for auto-LPG
due to the increased usage in the transport and
activities (in which cement is a primary
TYPE (in Percent), 2011 amidst the 0.9 percent reduction in consumption.
and for the putting
to date, 31 auto-LPG up of the 2nd daughter
conversion shopsstation in
industry sector. Industrial demand for natural gas is Oil (petroleum)
Figure 12. ENERGY remained as the sectors primary
CONSUMPTION OF THE TRANSPORT
building material) slowed down due Among petroleum products, diesel has the largest Batangas C ity.
with PNS license are being monitored by the
mainly from Pilipinas Shell , which utilizes gas for SECTOR BY FUEL TYPE (in Percent), 2011
fuel accounting for a hefty share of 97.3 percent
toprocessing
government under spending on contribution of 53.8 percent followed by gasoline DOE to ensure safe operation and standards
refinery as fuel for gas turbine engines amidst the 0.9 percent reduction in consumption.
with 36.0 percent, despite both fuels exhibiting a
infrastructures.
and supplemental fuel for furnaces. Natural gas Among petroleum products, diesel has the largest compliant conversion
Figure 12. ENERGY CONSUMPTION of gasolineOFfed THEmotor TRANSPORT
decline in consumption of 0.8 percent and 1.3 SECTOR BY FUEL TYPE (in Percent), 2011
consumption for transport reached 1.1 kTOE, as contribution of 53.8 percent followed by gasoline vehicles to auto-LPG.
percent, respectively.
utilized by 41 CNG. Another 20 units of CNG buses
Biofuels (CME and ethanol) consumption with 36.0 percent, despite both fuels exhibiting a

is expected to come aon modest
reflected stream agrowth s soon as 6.6
franchises
percent decline in consumption of 0.8 percent and 1.3 The DOE has continued with its campaign to
Biofuels continue to figure prominently in the
were released.
reaching 221.6 KTOE in 2011 from percent, respectively. promote the use of alternative fuels especially
transport sectors energy demand, as ethanol and
207.8 KTOE in 2010, as oil companies in public transport services. To date, there
biodiesel recorded increases in consumption of 10.1
consistently comply on the mandated Biofuels continue to figure prominently in the are 61 registered CNG public utility buses
percent and 9.9 percent, respectively. This may be
transport sectors energy demand, as ethanol and
biofuel blends. attributed to the continued implementation, (PUB) in the country, of which 41 units are
biodiesel recorded increases in consumption of 10.1
especially with the higher target blend of 10.0 commercially running. Likewise, the DOE
percent and 9.9 percent, respectively. This may be
Demand for natural gas reached 77.7 percent for biodiesel and percent for ethanol as also renewed the Certificate of Accreditation
attributed to the continued implementation,
KTOE in 2011, an 11.5 percent upturn mandated by the Biofuels Law. (CA) of four (4) CNG transport players and
especially with the higher target blend of 10.0
percent
for biodiesel and percent for ethanol as
mandated by the Biofuels Law.
PHILIPPINE ENERGY PLAN 2012-2030 20
20 PHILIPPINE ENERGY PLAN 2012-2030 G Y P L A N 2 0 1 2 - 2 0 3 0
PHILIPPINE ENER 21
PHILIPPINE ENERGY PLAN 2012-2030 21
abundance, availability and affordability. Likewise, growth in industrial output of 1.9 percent for the
of 29.2 percent to reach 226.1 kTOE in 2011 from
biomass remain to own a hefty share of 58.0 period necessitated 5.9 MTOE worth of energy,
last years 175.0 kTOE, notwithstanding its meager The commercial sector sustained the domestic
percent of the total residential demand. Fuelwood reflecting closely the sectors requirement in 2010.
share of 3.8 percent in the total industry demand. economy amidst the external shocks brought by the
was the major biomass used, contributing 45.0
The consecutive stream of double-digit growths10 slowdown in the Eurozone and in the US market
percent share to total consumption of the sector, Figure 14. ENERGY CONSUMPTION OF THE INDUSTRY SECTOR may be attributed to the constant inflow of that crippled commerce and trade. However, as the
followed by charcoal with 9.4 percent share, and BY SUB-SECTOR (in Percent), 2011
the Certificate of Authority to Import (CAI) Household electricity consumption, which investments in the with
demand mining 93.6sector percent which with was energy prevailing
households, trend in owning
other economic a 27.9 percent sectors, energy
share, as
agriwaste with 3.5 percent share.
was likewise issued to RRCG Transport System accounts for 26.8 percent share in the sectors liberalized intensive by virtue industriesof Republic 9 Act (R.A.) 7942 use in the commercial sector continues to increase
garnering 79.2 percent demand increased by 4.1 percent to 1.7 MTOE

otherwise known as the Philippine Mining Act of by 2.9 percent in 2011, although this is a significant
and N. Dela Rosa Liner. As another feat in CNG energy demand, dropped by 0.7 percent, from its
Household electricity consumption, which accounts share. However, total energy used for various from 1.6 MTOE in 2010. Food processing and
1995. Meanwhile, the energy consumed in the drop compared to its industries previous growth of 10.1
infrastructure
for 26.8 percent development,share in the the DOE issued
sectors a 2010 level of 1.62 MTOE to 1.61 MTOE in 2011.
energy manufacturing processes dropped by 0.8 sugar production needed biomass
construction The mining sub-sector posted a remarkable growth
sub-sector reached 152.0 kTOE, percent. This Commercial Sector can be attributed 11to the economic
demand, dropped
Certificate of Accreditation by 0.7 percent,
to the PNOC-EC from its 2010
on This may be attributed to increasing awareness percent due to sluggish production caused by levels of 1.0 MTOE, representing a share of 17.6
translating to aof m29.2
arginal s hare o f 2 .6 p ercent o ut o f
percent to reach 226.1 kTOE in 2011 from boom in the business process outsourcing (BPO)
level o f 1 .62 M TOE
28 June 2011 as a qualified participant to the t o 1 .61 M TOE i n 2 011. T his may in energy conservation and the use of more weaker demand for locally-made products in percent of the total industry demand,
total industry dlast emand.
years 175.0 kTOE, notwithstanding its meager industry, including customer services,
The commercial as well while
sector sustained as the domestic
be attributed to increasing awareness
NGVPPT for the putting up of the 2nd daughter energy efficient household appliances due to the in energy both domestic and international markets. the aggregate volume of petroleum products
share of 3.8 percent in the total industry demand. hotels, r etail s economy amidst the external shocks n
tores a nd m alls t hat a re e xpanding o brought by the
conservation
station in Batangas and the
City. use of more energy efficient IEC campaign under the Energy Efficiency and consumed dropped bythe
6.1 Eurozone
percent
Coal, as fuel The input for cement
consecutive and basic
stream metals
of double-digit growthsareas with growing
10
slowdown populations
in and to 1.3in
improving
and MTOE
the US market
household appliances due to the IEC campaign
Conservation Program of the Department. production, The may mining
contributed sub-sector
30.9
be attributed percent to posted
with a remarkable
the demand
constant from 1.4
disposable
inflow of MTOE
incomes 12in the previous year.
. Thus, energy consumption
that crippled commerce and trade. However, as the
under the Energy Efficiency and Conservation
Residential Sector levels reaching growth 1.8 of
MTOE 29.2
in percent
2011, a slight
investments in the mining sector which was to reach
increase 226.1 growth r eached prevailing TOE
2 .66 M in 2in
trend 010 to 2.74
other MTOE isectors,
economic n energy
Program of the Department.
Meanwhile, kerosene consumption of 0.4 percent KTOE from inits 2011
liberalized by from
previous last
level.
virtue of years 175.0
Electricity
Republic wAct KTOE,
as (R.A.) 2011. Commercial
7942 Sector 11
use in the commercial sector continues to increase
Figure 13. ENERGY CONSUMPTION OF THE RESIDENTIAL drastically went down by 12.1 percent to the second primary known
notwithstanding
otherwise fuel itsconsumed
meager
as by the
share
the Philippine of Mining
3.8 Act of by 2.9 percent in 2011, although this is a significant
SECTOR BY FUEL TYPE (in Percent), 2011
111.7 KTOE from its 2010 level of 127.2 households, owning
percent
1995. in a
Meanwhile, 27.9 percent
the total the industry share,
energy demand. as
consumed in Figure the 16. ENERGY drop compared OFto
CONSUMPTION THE its COMMERCIAL
previous growth of 10.1
SECTOR BY FUEL TYPE (in Percent), 2011
KTOE, as more households prefer cleaner demand increased Theconstruction by 4.1 percent
consecutive to 1.7
sub-sector
stream ofMreached
TOE from 152.0 kTOE,
double-digit percent. This can be attributed to the economic
1.6 MTOE growths in translating
2010. 10 Food processing
and more convenient fuels. Thus, LPG has mayto bea attributed
marginal share toand sugar
theof 2.6 percent out of
constant boom in the business process outsourcing (BPO)
The manufacturing sub-sector continues to account production inflow industries
total iof needed
ndustry d biomass
emand. levels of 1.0 industry, including customer services, as well as
Residential Sector become a viable choice
for much of the total as fuel for
industry cooking
demand with 93.6 MTOE, representing
investments in the mining
a share of 17.6 percent of the
Meanwhile, kerosene consumption drastically went
and lightning purposes, as residential LPG
9
sector which was liberalized by virtue of hotels, retail stores and malls that are expanding on
percent with energy intensive industries garnering total industry demand, while the aggregate volume
Total energy consumption in the residential sector down by 12.1 percent to
demand in 2011111.7 kTOE from its 2010
stood at 804.5 KTOE, a Coal, as
Republic Actfuel (R.A.) input
7942 for cement and
otherwise known basic metals areas with growing populations and improving
79.2 percent share. However, total energy used for of petroleum production, products consumed dropped by 6.1 with demand
dropped by 2.0 percent from its 2010 level of 6.1 level of slight
127.2 increase kTOE, as of more contributed 30.9 percent disposable incomes12. Thus, energy consumption
various manufacturing 0.2households
percent
processes
prefer
from last by 0.8
dropped as the Philippine Mining Act of 1995.
MTOE to 6.0 MTOE for 2011, which may be cleaner and more convenient fuels. Thus, LPG has percent to 1.3 levels MTOE reaching
from 1.4 1.8 MTOE
MTOE in the previous
in 2011, a slight increase growth reached 2.66 MTOE in 2010 to 2.74 MTOE in
years
percent leveldue
of 803.1 KTOE. production caused by
to sluggish year. Meanwhile, the energy consumed in the
attributed to the decline in the consumption of its become a viable choice as fuel for cooking and of 0.4 percent from its previous level. Electricity was 2011.
weaker demand for locally-made products in both construction sub-sector reached 152.0
three (3) main fuels biomass, electricity and lightning purposes, as residential LPG demand in the second primary fuel consumed by the
kerosene. The measly 0.2 percent growth in Industry
domestic Sector
2011 stood at 804.5
and international markets.
kTOE, a slight increase of 0.2 Figure 15. ENERGY KTOE,
households, translating
CONSUMPTION OFtoTHE
owning a INDUSTRY
marginal
a 27.9 SECTOR share of share, as
percent Figure 16. ENERGY CONSUMPTION OF THE COMMERCIAL
household use of LPG was not enough to offset the percent from last years level of 803.1 kTOE.
BY FUEL 2.6demand
percentincreased
TYPE (in out of total
Percent), 2011 industry demand.
by 4.1 percent to 1.7 MTOE from SECTOR BY FUEL TYPE (in Percent), 2011

negative growth in the sectors total energy In 9 2011,


Includes the industry
Sugar, sector
Food Processing, wentCement,
Chemicals, down Basic Metals, 1.6 MTOE in 2010. Food processing and sugar
Pulp & Paper, Machinery & Equipment
demand. from second to third biggest energy
Industry Sector Coal, as fuel input
production for needed
industries cement biomass and basic levels of 1.0
consumer behind transport and residential metals
MTOE, production, representing a contributed share of 17.6 30.9 percent of the
Despite the TotalPHILIPPINE
2.6 energy
percent ENERGY
consumption
reduction PLAN in 2012-2030
in the residentialIn 2011,
biomass sectors,the with 26.0 percent
industry sharedown
sector went of the total
from 22 percent with demand levels reaching
total industry demand, while the aggregate volume
consumption sector level of 3.5 Mby
dropped TOE 2.0in percent
2011, it from
continues
its 2010 levelsecond energy to demand.
third biggest The modest energy growth
consumer behind
in industrial 1.8of MTOE petroleum in 2011, products a slight consumed
increase dropped
of 0.4 by 6.1
Consequently,
The commercial demand sector for each
sustained of the
thesectors
domestic
to be a popular
of 6.1 choice
MTOE as to primary
6.0 MTOE household
for 2011,fuel, which maytransport and residential sectors, with 26.0 percent
output of 1.9 percent for the period necessitated percent
percent to 1.3 its
from MTOE
previousfrom 1.4 level. MTOE Electricity
in the previous
major fuels went up in 2011. Electricity, the major
economy amidst the external shocks brought
particularly among rural
be attributed to theareas,
declinedue in the to consumption
its share
5.9of
MTOE the worth total energy
of energy, demand.
reflecting The closely
modest the wasyear. the second primary fuel consumed by the energy by uthe sed slowdown
in the sector inwith
the52.2
Eurozone percent and share
inin the
abundance, availability and affordability. Likewise,
of its three (3) main fuels biomass, electricity sectors requirement in 2010. growth in industrial output of 1.9 percent for the 2011, slightly US market increased that from 1.40 MTOE
crippled commerce to 1.43
and
biomass remain and kerosene. to own The a measly
hefty share
0.2 percent of 58.0 growth inperiod Thenecessitated
manufacturing 5.9 MTOE worth of continues
sub-sector energy, Figure 15. ENERGY CONSUMPTION OF THE INDUSTRY SECTOR MTOE in 2010 trade. and
However,2011, respectively.
as the prevailingWhile oil
trend
percent of the total residential demand. Fuelwood reflecting closely the sectors requirement in 2010. BY FUEL TYPE (in Percent), 2011 products, with a share of 35.8 percent, registered a
household use of LPG was not enough to offset to account for much of the total industry in other economic sectors, energy use
was the major biomass used, contributing 45.0 4.1 percent increase which resulted to 0.94 MTOE in
the negative growth in the sectors total in the commercial sector continues to
percent share to total consumption of the sector, Figure 14. ENERGY CONSUMPTION OF THE INDUSTRY SECTOR 2010 to 0.98 MTOE in 2011, as diesel, the most
energy demand. increase by 2.9 percent in 2011, although
followed by charcoal with 9.4 percent share, and BY SUB-SECTOR (in Percent), 2011 utilized oil product in the sector, registered higher
agriwaste with 3.5 percent share. this is a significant drop compared to its

Despite the 2.6 percent reduction in biomass previous growth of 10.1 percent. This can
11
Trade and services, Consequently,
excluding Transport demand for each of the sectors
consumption level of 3.5 MTOE in 2011, it
Household electricity consumption, which accounts 10
Double-digit growth rates for 2006-2011
12 be major fuels went up in 2011. Electricity, the major
www.colliers.com/Colliers
attributed to the economic boom in
Int'l Q4 2011.pdf
for 26.8 continues
percent share to be ain popular choice as
the sectors primary
energy theenergy business process
used in the sector outsourcing with 52.2 (BPO)
percent share in
household
demand, dropped by fuel, particularly
0.7 percent, from among
its 2010 rural industry, including customer services,
2011, slightly increased from 1.40 MTOE to 1.43
areas,
level of 1.62 MTOE due to 1to
.61 its abundance,
MTOE in 2011. Tavailability
his may PHILIPPINE ENERGY PLAN 2012-2030 as MTOE
well asin hotels, 2010 retail storesrespectively.
and 2011, and malls 23 While oil
be attributed to increasing Likewise,
and affordability. awareness in energy
biomass remain thatproducts, with a share of 35.8 percent, registered a
are expanding on areas with growing
conservation and the use of
to own a hefty share of 58.0 percent of the more energy efficient populations
4.1 percent and increase improving disposable
which resulted to 0.94 MTOE in
household total appliances
residential due to
demand.the IEC campaign was
Fuelwood incomes2010 12to . 0.98 Thus, MTOE
energy in 2011, as diesel, the most
consumption
under the Energy Efficiency
the major biomass used, contributing 45.0 and Conservation growth utilized reachedoil product
2.66 MTOE in the insector,
2010 to registered
2.74 higher
Program opercent f the Department.
share to total consumption of the MTOE in 2011.
Figure 13. ENERGY sector, CONSUMPTION
followed by charcoal OF THE RESIDENTIAL with 9.4 percent 9 Includes Sugar, Food Processing, Chemicals, Cement,
11
Trade and services, excluding Transport
10 12
SECTOR BY FUEL TYPE (in Percent), 2011
share, and agriwaste with 3.5 percent share. Double-digit growth rates for 2006-2011 www.colliers.com/Colliers Int'l Q4 2011.pdf
Basic Metals, Pulp & Paper, Machinery & Equipment 11 Trade and services, excluding Transport
10 Double-digit growth rates for 2006-2011 12 www.colliers.com/Colliers Intl Q4 2011.pdf

The manufacturing sub-sector continues to account
PHILIPPINE ENERGY PLAN 2012-2030 23
for much of the total industry demand with 93.6
22 PHILIPPINE ENERGY PLAN 2012-2030 PHILIPPINE ENERGY PLAN 2012-2030 23
percent with energy intensive industries9 garnering
79.2 percent share. However, total energy used for

GHG emission from all sectors dropped except for
power generation which accounts for 44.1 percent
As production output from the fishery subsector of the total GHG emission (Figure 18) and at the
declined by 4.0 percent in 2011, its energy demand same time contributed the largest chunk equivalent
plunged by 16.3 percent to 177.7 kTOE from 212.2 to 32.3 MtCO2e (Table 1). It posted a significant
Consequently, demand for each of the sectors coupled with the rising cost kTOE of in
fuel2010.
and operatingThis was due to the effect of percent of the total GHG emission (Figure
major fuels went up in 2011. Electricity, the expenses resulting in lower successive
agricultural weather disturbances coupled with the
output
Figure 18. GHG EMISSION BY SECTOR AND ACTIVITY
(in MtCO2e) 18) and at the same time contributed the
major energy used in the sector with 52.2 percent from both commercial and municipal fisheries. rising cost of fuel and operating expenses resulting largest chunk equivalent to 32.3 MtCO2e
share in 2011, slightly increased from 1.40 MTOE The agri-industry subsector in lower
alsoagricultural
suffered aoutput 7.5 from both commercial (Table 1). It posted a significant increase
to 1.43 MTOE in 2010 and 2011, respectively. percent drop in its energy demand to 123.5 and municipal fisheries. The agri-industry subsector of 3.3 percent from its 2010 level of 31.3
also suffered a 7.5 percent drop in its energy
While oil products, with a share of 35.8 percent, KTOE in 2011 from the previous years 133.6 MtCO2e which was mainly driven by higher
demand to 123.5 kTOE in 2011 from the previous
registered a 4.1 percent increase which resulted KTOE as destructive storms that hit the grains- utilization of fossil fuels particularly coal
years 133.6 kTOE as destructive storms that hit the
to 0.94 MTOE in 2010 to 0.98 MTOE in 2011, as producing regions of the country in the second and natural gas.
grains-producing regions of the country in the
diesel, the most utilized oil product in the sector, half of 2011 resulted tosecond lower crop half production.
of 2011 resulted to lower crop
registered higher consumption of 0.63 MTOE Similarly, the forestry subsector production. registered
Similarly, thethe forestry subsector The GHG emission of the transport sector
in 201, from 0.55 MTOE in 2010. Meanwhile, biggest drop in energy consumption
registered of 27.9
the biggest drop in energy consumption slightly decreased by 0.9 percent from
biomass (including biofuels) with 12.1 percent percent to 1.2 KTOE from its year-ago level
of 27.9 percent to 1.2 kTOE of from its year-ago level 13
EO 23 series of 2011 Declaring A Moratorium On The Cutting And 23.0 MtCO2e in 2010 to 22.7 MtCO2e in
share had a significant increase of 2.2 percent, 1.6 KTOE. The stringentof process for approval
1.6 kTOE. of process for approval of
The stringent Harvesting Of Timber In The Natural And Residual Forests And 2011 which is attributed to the decrease in
Creating The Anti-Illegal Logging Task Force
reached 0.32 MTOE in 2011. environmental permits has led to the reduction petroleum demand, but still accounted for
consumption of 0.63 MTOE in 201, from 0.55 MTOE environmental permits has led to the reduction in
in forestry operations that was further supported a substantial share of 31.0 percent to the
in 2010. Meanwhile, biomass (including biofuels) forestry operations that was further supported
Agriculture, Fishery and Forestry (AFF) Executive Order (E.O.) PHILIPPINE 2313 which provided ENERGYforPLAN 2012-2030 GHG emission from all sectors dropped except 24 total GHG emission (Table 1).
with 12.1 percent share had a significant increase of Executive Order (E.O.) 2313 which provided for a
Sector
2.2 percent, reached 0.32 MTOE in 2011. a moratorium
moratorium on theon cutting and aharvesting
the cutting nd harvesting of of timber for power generation which accounts for 44.1
timber inin the
the country.
country.
The energy requirement of the AFF
Agriculture, Fishery and Forestry (AFF) Sector sector being Table 1. GHG EMISSION BY SECTOR AND ACTIVITY, 2010 2011
the least energy intensive among economic While petroleum productsproducts
While petroleum persists as the sectors
persists as the sectors Total Non Co2 Emission Total GHG Emission Total GHG Emission
sectors, was rconsiderably
The energy equirement of cut the by 13.0
AFF percent
sector primary primary energy source commanding a share of 61.6
being the energy source commanding a share of CO2 Emission (MtCO2e)
Sector (MtCO2e) (MtCO2e) (% Change)
from last
least years
energy level of
intensive 347.4
among KTOE to
economic 302.3was
sectors, 61.6 percent, it posted a decline of 13.6 percent
percent, it posted a decline of 13.6 percent from its
2010 2011 2010 2011 2010 2011 2010-2011
considerably
KTOE in 2011.cut by decline
The 13.0 percent from last by
was triggered years
from its year-ago
year-agolevel levelof of215.5
215.5 kTOE
KTOE to 1to86.1
186.1kTOE in 2011.
Electricity 31.16 32.20 0.12 0.13 31.28 32.32 3.34
thelevel of 347.4
reduction kTOE to
of energy 302.3 kTOE across
consumption in 2011.
allThe
KTOE in This is attributed to the drop in diesel consumption
2011. This is attributed to the drop in
decline was triggered by the reduction of energy of 12.5 percent due to the Transport 22.81 22.60 0.14 0.14 22.95 22.74 -0.91
subsectors for 2011. diesel consumption of 12.5 percent dueweakened
to the fishery
consumption across all subsectors for 2011. subsector. fishery Electricity was the Electricity
second major fuel Industry 11.58 11.32 0.06 0.06 11.64 11.38 -2.23
weakened subsector.
with a share of 38.0 percent, while demand levels Other 5.89 5.87 0.03 0.03 5.92 5.90 -0.30
was the second major fuel with a share of
Figure 17. ENERGY CONSUMPTION OF THE AFF SECTOR BY
stood at 114.8 kTOE, a drop of 10.2 percent from Energy 1.01 0.93 0.00 0.00 1.02 0.94 -7.70
FUEL TYPE (in Percent), 2011 38.0 percent, while demand levels stood Total 72.45 72.93 0.36 0.36 72.81 73.29 0.66
last years 127.9 kTOE.
at 114.8 KTOE, a drop of 10.2 percent % Distribution Change in Distribution

from last years 127.9 KTOE. Electricity 43.01 44.15 33.32 34.63 42.96 44.11 1.14
ENVIRONMENTAL IMPACT
Transport 31.49 31.00 38.30 37.72 31.52 31.03 -0.49
ENVIRONMENTAL
GHG Emission IMPACT Industry 15.98 15.52 17.73 17.30 15.99 15.53 -0.46
Other 8.13 8.05 9.72 9.55 8.13 8.06 -0.08
GHG
The Emission
total GHG emission from energy-related Energy 1.40 1.28 0.94 0.79 1.39 1.28 -0.12
activities reached 73.3 million tons of carbon Total 100.00 100.00 100.00 100.00 100.00 100.00
The totalequivalent
dioxide GHG emission (MtCO2e) from energy-
in 2011 from its 2010
related activities reached
level of 72.8 MtCO 73.3 million
e. The 0.7 percent increase was Table 2. GHG EMISSION BY FUEL, 2010 2011
2
attributed
tons of carbon to higher
dioxidedemand for fossil fuels in
equivalent Total Non Co2 Emission Total GHG Emission Total GHG Emission
power generation which offsets the GHG reduction CO2 Emission (MtCO2e)
(MtCO2e) in 2011 from its 2010 level of Sector (MtCO2e) (MtCO2e) (% Change)
from
72.8 other remaining
MtCO2e. The 0.7economic
percent sincrease ectors.
2010 2011 2010 2011 2010 2011 2010-2011
attributed to higher demand for
was Oil 38.51 35.69 0.20 0.19 38.71 35.88 -7.31
GHG fuels
fossil emission from all generation
in power sectors dropped
whichexcept for Coal 26.86 29.59 0.15 0.16 27.01 29.75 10.16
power generation which accounts for 44.1 percent
As production output from the fishery subsector offsets the GHG reduction from other Gas 7.08 7.65 0.01 0.01 7.09 7.65 7.97
of the total GHG emission (Figure 18) and at the
production output from the fishery subsector remaining economic sectors.
Asdeclined by 4.0 percent in 2011, its energy demand 72.45 72.93 0.36 0.36 72.81 73.29 0.66
same time contributed the largest chunk equivalent
declined
plunged by by 4.0
16.3 percent in 177.7
percent to 2011,kTOE
its from
energy 212.2 % Distribution 2008-2009 Difference
to 32.3 MtCO2e (Table 1). It posted a significant
demand plunged
kTOE in by 16.3
2010. This percent
was due to 177.7
to the effect of Oil 53.15 48.94 57.00 53.77 53.17 48.96 -4.21
13 EO 23 series18.
of GHG
2011 EMISSION
Declaring BY A Moratorium OnACTIVITY
The Coal 37.07 40.58 41.08 44.19 37.09 40.60 3.50
KTOE from 212.2
successive weather KTOE in 2010. This
disturbances waswith
coupled due the Figure
Cutting And Harvesting
SECTOR AND
(in MtCOOf 2e) Timber In The Natural And
to rising cost of fuel and operating expenses resulting
the effect of successive weather disturbances Gas 9.77 10.48 1.92 2.04 9.74 10.44 0.71
Residual Forests And Creating The Anti-Illegal Logging
in lower agricultural output from both commercial Task Force 100.00 100.00 100.00 100.00 100.00 100.00
and municipal fisheries. The agri-industry subsector
also suffered a 7.5 percent drop in its energy
demand to 123.5 kTOE in 2011 from the previous
24 PHILIPPINE ENERGY PLAN 2012-2030 PHILIPPINE ENERGY PLAN 2012-2030 25
years 133.6 kTOE as destructive storms that hit the
grains-producing regions of the country in the
The same decreasing trend was seen in the requirements, GHG emission intensity fell Philippine Energy Outlook 2012-2030
industry sector, which contributes 15.5 by 3.0 percent from 1.28 tCO2e/PhP100K at
percent to the total GHG emission, posted 11.4 2000 prices from its 2010 level of 1.24 tCO2e/
KEY ASSUMPTION, PARAMETERS target of energy intensity reduction of 8.0
MtCO2e or 2.2 percent lower from its 2010 PhP100K.14 The decrease is an impact of a higher percent by 2015 with 2005 as basis and Asia-
level of 11.6 MtCO2e (Table 1). This is mainly change in GDP (3.7 percent growth) rather than AND METHODOLOGIES
Pacific Economic Cooperations (APEC) target
due to the reduction of petroleum
utilization for power generation signifying possible The LCS of the PEP serves as the reference case in to reduce APECs aggregate energy intensity
improvements consumption in the thermal for industrial activities.
efficiency of fossil-
Figure 19. GHG EMISSION BY FUEL (in MtCO2e)
the demand projection of the Philippine Energy (energy demand per unit of gross domestic
Other
fuelled power sectors (commercial, residential
plants. Outlook 2012-2030. In building the LCS, impacts product - GDP) by 25 percent in 2030 and 45
and agricultural) registered the lowest of policy interventions and developments percent by 2035 with 2005 as the base year.
aggregate emission of 5.9 MtCO2e
Socio-economic Impact on the use of efficient and environmentally
showing a 0.3 percent decrease benign end-use technologies in the future are The base year used for the projections is 2011,
The CO2 emission
compared per TPES
to its increased,
2010 level posting
due1.86
to simulated (Table 3). It takes into account new and the targets of LCS are summarized in Table 3.
tCO2e/TOE the from lesser1.85 tCO 2e/TOE which
utilization of LPG translated
in the and existing policies, programs and measures of
to a minimal
commercial rate of 0.4 sector
percent. and The partly
increase
oncan
the the Philippine government relating to the energy The following are the general assumptions on
be attributed to a greater
decrease of diesel consumption in the consumption of
sector which are currently being implemented the trends of major factors affecting the demand
petroleum agricultural products sector. particularly for power
generation. Oil In terms of economic and will be pursued within the timeframe of the for various energy products:
consumption shared requirements,
almost half of Plan. As such, the virtue of this scenario rests
GHG emission intensity fell by 3.0 percent from 1.28
the GHG emissions corresponding to on assessing the effects of such measures which ECONOMIC GROWTH
tCO2e/PhP100K at 2000 prices from its 2010 level of
49.0 percent (Figure 19) posting a level may evolve either as a consequence of need
1.24 tCO2e/PhP100K.14 The decrease is an impact of
of 35.9 MtCO2e which is 7.3 percent Figure 20. SOCIO-ECONOMIC
a higher change in GDP (3.7 percent growth) rather 2006-2011
IMPACT OF GHG EMISSION LEVEL,
(energy security) or the commercialization of The average annual growth rate of the countrys
lower that
than the change in its 2010
GHG level. Coal
emission andpercent
(0.7 natural energy technologies (economics). On the supply real GDP from 2001 to 2011 is 4.8 percent, with
gas consumption, on the
growth). Likewise, GHG emission per capita other hand, 2.0 side, the PEP uses two (2) scenarios for its 2012- industry15 and services16, both energy-intensive
shared 40.6 percent (29.82e per person
reduced by 1.5 percent from 0.79 tCO MtCO2e) and 2030 outlooks. The first scenario simulates how sectors, as main drivers of economic growth. On
1.8
in 2010 to 10.4
0.78 percent (7.7person
tCO2e per MtCO2e), respectively
in 2011 (Figure the future energy supply will evolve given the the other hand, energy consumption in industry
20). (Table 2). 1.6
interaction of market forces under a BAU. The and services sectors increased, on the average,
1.4 second one considers the impact of aggressive by 2.8 percent and 1.1 percent, respectively, for
GHG Emission per Electricity implementation of the plans, programs and the past ten (10) years.
1.2
Generation policies of the government under the LCS of
1.0
supply outlook. As the countrys economy is expected to benefit
The electricity generation emission 0.8 from strong macro- and micro-
coefficient remained at a range of Table 3. TARGETS OF LOW CARBON SCENARIO economic fundamentals, official
0.6
0.4 to 0.5 since 2000. The coefficient government figures17 project real
continuously posted a modest increase 0.4 o Increase energy savings on all sectors for electricity and petroleum products
across the entire planning horizon GDP to increase by 7.5 percent
from 0.46 tCO2e/MWh in 2010 to 0.47 0.2 o Compressed Natural Gas (CNG)-fuelled buses to increase to 15,000 units by in 2012, 6.5 percent in 2013, 6.7
tCO2e/MWh in 2011 although there is 2030 percent in 2014, and 7.5 percent
0.0
an escalation in fossil fuel utilization for 2000 2001 2002 2003 2004 2005 2006 2007 2008 o CNG-fuelled taxis to reach 16,000 units in 2030
from 2015 to 2016. Meanwhile,
power generation signifying possible tCO2e per capita tCO2e/MWh tCO2e/100K, CY 2000 = 100 o Auto-LPG fed taxis to reach 23,000 units in 2030 the Philippines is projected to be
improvements in the thermal efficiency o E-vehicles to reach 230,000 units in 2030; the worlds top sixteenth (16th)
of fossil-fuelled power plants. o Biodiesel blend to reach 2% (2011-2014), 5% (2015-2019), 10% (2020-2024), economy by year 2050, with the
the change in GHG emission (0.7 percent growth). 20% (2025-2030)
countrys GDP growing by as
Socio-economic Impact Likewise, GHG emission per capita reduced by o Bioethanol blend to reach 10% (2011- 2019); 20% (2020-2030)
much 8.4 percent from 2017-
1.5 percent from 0.79 tCO2e per person in 2010 2020, and by 7.3 percent from
The CO2 emission per TPES increased, posting to 0.78 tCO2e per person in 2011 (Figure 20). Consistent with the global call to combat and/ 2021-2030 . 18

1.86 tCO2e/TOE from 1.85 tCO2e/TOE which or reduce the effects of climate change while
translated to a minimal rate of 0.4 percent. supporting economic growth and development, 15 Includes manufacturing, construction, mining and quarrying,
The increase can be attributed to a greater the Plan adheres to commitment of international 16 electricity & water
14 Note that GHG emission intensity is not comparable to Includes trade, transport, communication & storage, finance,
consumption of petroleum products particularly previous years published intensity level due to change in energy intensity reduction particularly, the real estate, private and government services
for power generation. In terms of economic GDP reference period from 1985 base year to 2000 base Association of Southeast Asian Nations (ASEAN) 17 NEDA and DBCC
14
Note that GHG emission intensity is not comparable to previous year. 18 The World in 2050, HSBC January 2012 report
years published intensity level due to change in GDP reference
period from 1985 base year to 2000 base year.

26 PHILIPPINE ENERGY PLAN 2012-2030 PHILIPPINE ENERGY PLAN 2012-2030 27


PHILIPPINE ENERGY PLAN 2012-2030 26
POPULATION number of vehicles per type of fuel use, PRIMARY SUPPLY OUTLOOK in 2030. The increase is also attributed to the
fuel efficiency and mileage, fuel conversion, growth in natural gas production of 6.9 percent
The Outlook assumes that population shall and GVA. Energy demand projection for rail
2012-2030
This is due to the significant share of coal
across as fuel Fossil Fuels
the entire planning period under LCS.
increase from 94.01 million persons in 2010 to transport used number of passengers for requirement in power generation and industrial
102.97 million persons in 2015, translating to the Philippine National Railways (PNR) and
The countrys total primary
processing, which energy supply (TPES)
is anticipated Fossil
for the Fuels A.
entire Oil
under theplanning BAU scenario period. will
Oil grow
will at
be an annual
the second major fuel
an average annual growth rate of 1.8 percent. Metro Rail Transit/Light Rail Transit (MRT/
average rate with
of28.2 percent to
3.4 percent average
reach share 73.9 MTOE after reflecting A. Oil the Total primary oil supply is projected to grow b
Population growth rate is expected to slow down LRT) lines and population. On the other
in 2030, from requirements
39.4 million of tons oil ofintensive
oil equivalent transport sector. percent per year under the BAU scenario, from
for the succeeding five-year calendar interval to hand, for water and air transport, indicators
(MTOE) in Likewise,
2011. By end geothermal
of 2030, ecoal nergy
willconsidered
be biggest as Total one oprimary
f the MTOE
oil supply in 2011 to 18.3
is projected to MTOE
grow by in 2030. Du
1.6 percent (2016-2020), 1.5 percent (2020- such as number of passengers, kilometer/
fuel in the major fuel inputs for
TPES accounting in pan ower
average generation
share of will b2.1 e having
percent a per
transport
year under sectors theheavy
BAU requirements
scenario, for oil,
2025), and 1.3 percent (2025-2030)19. ton-kilometer flown, cargo throughput significant s hare o f 1 8.8 p ercent o n t he a verage. remain a mong t he m ajor f uels i n t he T PES for the
This is due to the significant share of
30.1 percent in the energy mix (Figure 21). Fossil Fuels coal as fuel from 12.4 MTOE in 2011 to 18.3 MTOE in
and sub-sectoral value-added were used in requirement in power generation and industrial 20 years. to transport sectors
2030. Due
OIL PRICES energy demand projection. In general, the processing, which is anticipated for the entire A. Oil
heavy requirements for oil, it will
Outlook also incorporates future plans and Figure 21. TOTAL PRIMARY ENERGY SUPPLY BY FUEL TYPE (LCS VS BAU)
planning period. Oil will be the second major fuel For the period 2016 to 2030 under LCS, grow
remain among the major fuels in
Crude oil price assumptions in the Outlook programs of the DOTC, with the foreseen with 28.2 percent average share after reflecting the Total primary oil supply total oil supply is projected to slow down due t
is projected to grow by 2.1
the TPES for the next 20 years.
are based on the Organization of Petroleum development in other related sectors, requirements of oil intensive transport sector. percent per year under penetration of alternative fuels for transport su the BAU scenario, from 12.4
Exporting Countries (OPEC) average crude notably local tourism. Likewise, geothermal energy considered as one of the MTOE in 2011 to 18.3 electric
MTOE vehicles, CNG
in 2030. (both to
Due for taxis and buses
major fuel inputs in power generation will be having a transport sectors heavy For the
auto-LPG. period
requirements 2016 to
Implementation 2030 under
of
for oil, it will higher biofuel b
import price, a proxy for international oil prices,
significant share of 18.8 percent on the average. remain among the major LCS,
for growth
both
fuels in tdiesel in
he TPES total
and oil supply
for gasoline,
the next which is are target
in its World Oil Outlook (WOO) 2011-2035. It is The Industry sectors aggregate demand
20 years. projected
reach the m toaximum
slow down level dueof 2to
0 pthe ercent by 2025
assumed to increase from US$109.9/barrel in was divided into energy intensive and less-
penetration
likewise contribute of alternative
to the sfuels
lothful forrequirement
201120 to around US$146/barrel to US$189/ energy intensive industries. Included under Figure 21. TOTAL PRIMARY ENERGY SUPPLY BY FUEL TYPE (LCS VS BAU)
For the period 2016 to (Figure
transport 2030 2under 2).
suchLCS, as electric
growth vehicles,
in
barrel for the next 20 years. the energy intensive industries are food
CNG (both for taxis and buses)
total oil supply is projected to slow down due to the
processing, sugar, paper and pulp industries,
penetration of alternative fuels for transport such as
and auto-LPG. Implementation
SECTORAL ENERGY DEMAND cement manufacturing, chemicals, basic
electric vehicles, CNG (both
Figure 22. TOTAL OIL SUPPLY, ACTUAL (LCS VS BAU)
for taxis and blends
buses) and
of higher biofuel for both
METHODOLOGIES metal and machinery and equipment. auto-LPG. Implementation of higher biofuel blends
diesel and gasoline, which are
Meanwhile, other manufacturing activity, for both diesel and gasoline, which are targeted to
targeted to reach the maximum
The energy demand outlook for this planning mining and construction fall under less- reach the maximum level of 2of0 p ercent by 2by
025, shall shall
level 20 percent 2025,
period considers a wide range of issues and energy intensive industries. Variables such as likewise contribute to the slothful requirement for oil
This is due to the significant share of coal as fuel likewise contribute to the slothful requirement
trends that could have major implications in GVA, commodity prices, production targets Meanwhile, TPES under the LCS will 2reach
(Figure 2). 77.5
requirement in power generation and industrial for oil (Figure 22).
the countrys energy consumption patterns. and population were used as indicators for MTOE, 5.0 percent higher as compared to the BAU,
processing, which is anticipated
which will grow at an for the
average annual of 3.6 percent.
The readily observable factors include, among energy demand model of these sub-sectors.
entire planning The difference is due be
period. Oil will to the
the Figure 22. TOTAL OIL SUPPLY, ACTUAL (LCS VS BAU)
increase in the
others: GDP, sectoral gross value-added (GVA)
second major fuel with 28.2 percent
production of RE for power generation, particularly
and price indices, particularly in industry, For the Residential sector, socio-economic
average geothermal share afterenergy reflecting growing the by around 4.2 percent
commercial and agriculture sectors. Relevant indicators such as household final
requirements across ofthe
oilpintensive
lanning horizon transport from 8.6 MTOE in 2011 to
factors and information that impact on the consumption expenditure (HFCE) and
sector. Likewise, around 18.8 geothermal
MTOE in 2030. energy The increase is also
energy consumption for each sector were household population were considered in
Meanwhile, considered attributed to the growth in natural gas production of
TPES under as the
oneLCS of will
the reach major77.5 fuel
considered in the simulation, specifically: calculating energy consumption. Both data
MTOE, 5.0 percent
inputs higher in6.9 percent across
as compared
power generation to the
the entire
BAU, be
will planning period under
were sourced from the National Statistics
which will grow at an
having a significantLCS. annual
average shareof of3.6 percent.
18.8 percent
Demand levels for Transport, which is Office (NSO).
The difference is
on the average. due to the increase in the The total oil supply under LCS will grow at a s
the most energy-intensive sector, demand
production of RE for power generation, particularly annual average rate of 1.9 percent compared to
levels were derived separately for each For Commercial and Agriculture sectors, geothermal energy
growing by around 4.2 percent
Meanwhile, TPES under the LCS will
of the four (4) modes of transportation GVA for trade and services, and agriculture, across the planning horizon from 8.6 MTOE in 2011 to
reach 77.5 MTOE, 5.0 percent higher as
road, rail, air and water. For road transport, fishery and forestry were used, respectively. around 18.8 MTOE in 2030. The increase is also
compared to the BAU, which will grow
related indicators used as independent
attributed to the growth in natural gas production of
at an average annual of 3.6 percent. The
variables to project the demand include 6.9 percent across the entire planning period under
LCS. difference is due to the increase in the

production of RE for power generation, The total oil supply under LCS will grow at a slower
particularly geothermal energy growing by The total oil supply under LCS will grow at
annual average rate of 1.9 percent compared to BAU.
19 Population Projections (Medium Assumptions), National around 4.2 percent across the planning horizon a slower annual average rate of 1.9 percent
Statistics Office
20 Actual 2011 FY price, DOE-Oil Industry Management Bureau from 8.6 MTOE PHILIPPINE in 2011 ENERGY to around PLAN 18.82012-2030MTOE
compared to BAU.



28 PHILIPPINE ENERGY PLAN 2012-2030 PHILIPPINE ENERGY PLAN 2012-2030 29


governments efforts in promoting the
utilization of renewable energy and cleaner
fuels in power generation for environmental
considerations.

B. Coal Figure 23. COAL SUPPLY, ACTUAL (LCS AND BAU) Figure 25. TOTAL RE SUPPLY, ACTUAL (LCS AND BAU)
will be sourced from hydropower while its fuel
additional installed capacity of 3,535
Meanwhile, natural gas supply will grow faster under MW. input uFor nder the
the Lperiod
CS will be around 4.6 MTOE.
2012-2030,
Under the BAU, total coal supply will LCS growing at an annual average rate of 6.9 percent
hydropower will constitute an annual
increase at a faster rate of 7.2 percent to reach 11.5 MTOE in 2030. Assuming realization of Combined supply level of solar and wind under
average share of around 4.8 percent to
production targets, the growth will also be largely the BAU is projected to increase at an average
annually, from 7.7 MTOE in 2011 the total primary energy supply, while
due to the governments effort to promote the rate of 5.9 percent per year, from 7.7 kTOE in
to 28.7 MTOE in 2030 bringing its under the LCS its share will reach up
utilization of green fuel for power generation (green 2011 to almost 22.9 kTOE in 2030. The level of
share in the TPES to 38.9 percent in to 5.7 percent, where its supply will
fuel means RE plus natural gas). supply of these sources of energy under the
2030, from 19.6 percent in 2011. The grow to 4.6
LCS will be MTOE in 2030,
remarkably forto
high yearly
increase at an
increase in coal supply is due to the Renewable Energy average rate of 3.5 percent. By
average growth rate of 20.4 percent end of annually
significant contribution of coal as fuel 2030 bringing the BAU, itsolar
undercombined will be expected
and wind supply to
input for power generation. Estimated RE will account for an annual average share of 32.6 that around
around 2.9 MTOE
263.7 kTOE ofin
fuel2030.
input for The policy
aggregated capacities of 9,700MW percent across the planning period (Figure 21). The power generation will be sourced from
mechanisms set under the RE law to include
of new coal generating plants will be supply of RE will grow slightly at an average rate of hydropower
the Feed-in-Tariff while its(FIT) fuel input and under
the Renewable
considered within the planning period 0.8 percent per year under the BAU, from 16.0 MTOE the Portfolio
LCS willStandards be around(RPS), 4.6 MTOE. among others, will
increasing its installed capacity to in 2011 to 18.7 MTOE in 2030 (Figure 25). On the serve as a catalyst to the rapid increase on the
14,600 MW. Further, the upward trend other hand, under the LCS, its contribution to TPES level of supply
Combined supply of tlevel
hese sof ources
solarof andenergy.
in coal supply is also attributed to C. Sampaguita
Natural Gas will improve to 3.2 percent average growth rate, wind under the BAU is projected to
by 2023, Sulu Sea by 2025, among
increasing requirements of industry, specifically others. reaching 29.3 MTOE in 2030. 21). The supply of RE will grow slightly at an increase Biomass 21
at an averagein rate
share the RE
of 5.9 supply
percent mix under
per the BAU
Geothermal energy will continue to be the countrys scenario will remain to be the second highest to
B. for cement and basic metals production (Figure
Coal Under the BAU, natural gas is projected to increase by
horizon, from 3.3 MTOE in 2011 to 8.2 MTOE in 2030 average rate of 0.8 percent perfor year under theof tyear, from 7.7 KTOE in 2011 to almost 22.9 KTOE
major R E resource, accounting 58.5 percent he account for an annual average contribution of 20.3
23). 4.9 Meanwhile,
percent annually naturalacross the entire
gas supply will grow planning
faster BAU, from in 2030. The level of supply of these sources of
(Figure 24). The countrys gas supply outlook will still total RE 16.0 MTOE
supply in 2011
in the BAU. to 18.7
Geothermal MTOE inenergy
percent , albeit its declining supply levels, from 4.9
Under the BAU, total coal supply will increase at a be largely under hinged
LCS growing at an
on the annual average
production rate
of the 2030 (Figure 25). On
production will reach the10.9
other hand,
MTOE under
in 2030 the
from energy under the LCS will be remarkably high to
8.6
PHILIPPINE ENERGY PLAN 2012-2030 30 MTOE in 2011 to 2.7 MTOE in 2030 or a negative
faster rate of 7.2 percent annually, from 7.7 MTOE in
However, coal supply under the LCS will increase Malampaya
of 6.9 percent field, to including
reach 11.5 additional
MTOE in gas 2030. LCS, its contribution to TPES will improve to 3.2 increase
MTOE in 2011, which translates to an average annual at an average growthper rateyear
of 20.4 percent
growth of 3.1 percent (Figure 5). It can be
2011 to 28.7 MTOE in 2030 bringing its share in the (uncontracted
at a slower rate of 4.8 percent, reaching 18.9 Assuming realization of production targets, gas) until 2025. Aside from the percent
growth average growth
of 1.3 percent rate, reaching
across the 29.3 MTOE
entire annually
planning bringing combined solar and wind
noted that the drop in biomass supply stems from the
TPES to 38.9
MTOE percent
level,in with
2030, from 19.6
a lower average percent
sharein to TPES Libertad
thegas
growthfield in will
Cebu also
which
bestarted
largelycommercial
due to the in period. A total of 220 MW of additional geothermal
2030. supply residential sectors decreasing demand for this fuel at
to around 263.7 KTOE in 2030. The policy
2011. The ofincrease in coal supply is due to the production
25.2 percent compared to that of BAU. This governments effort to promote the utilization in 2010, potential gas fields foreseen to power capacities will be online within the next mechanisms 20 around set10.3 underpercent
the RE law to include the
annually, particularly fuel
significant contribution of coal as fuel input for power produce commercially within the next 20 years years thus, expanding its total installed capacity to
is due to the governments efforts in promoting of green fuel for power generation (green fuel Geothermal energy will continue to be the Feed-in-Tariff demand (FIT) for and the Renewable
household cooking Portfolio and heating.
generation. Estimated aggregated capacities of include San Martin by 2015, Sultan sa Barongis and 2,003 MW. On the other hand, supply of geothermal
the utilization of renewable energy and cleaner means RE plus natural gas). countrys major RE resource, accounting for Standards However, (RPS),biomass among supply
others,in will serve
power as
generation will
9,700MW of new coal generating plants will be Sampaguita by 2023, Sulu Sea by 2025, among others. energy in LCS will reach to around 18.8 MTOE, more
fuels in power generation for environmental 58.5 percent of the total RE supply in the BAU. a catalyst grow toconsiderably
the rapid increase at an annual
on theaverage
level ofrate of 6.4
considered within the planning period than doubling its production
2011 level will of reach
8.6 MTOE,
considerations.
increasing its installed capacity to 14,600 MW. Figure 24. NATURAL GAS SUPPLY, ACTUAL (LCS AND BAU) Geothermal energy 10.9 and supply percent of these due sources to additional
of energy. capacities of biomass-fed
garnering 64.0 percent of total RE. Under the NREP, power plants that will be put up within the planning
Further, the upward trend in coal supply is also MTOE in 2030 from 8.6 MTOE in 2011, which
geothermal energy capacity in power generation shall period.
attributed to increasing requirements of translates to an average annual growth of 1.3 Biomass21 share in the RE supply mix under the
increase by 75.0 percent at the end of 2030.
C. Naturalfor
industry, specifically Gascement and basic percent across the entire planning period. A BAU scenario will remain to be the second highest
Meanwhile under the LCS, biomass supply will take as
metals production (Figure 23). total of 220 MW of additional geothermal power to account for an annual average contribution of
Within the next 20 years under the BAU, hydropower much as 7.1 percent by of the total primary energy
Under the BAU, natural gas is capacities
supply will will be online
register within
a modest growth the of next0.6 20 20.3 percent , albeit its declining supply levels,
percent supply end of 2030 compared to the 6.8 percent
However, projected
coal supply under the
to increase by 4.9LCS percent will yearsper thus,
year, fexpanding its total
rom 2.4 MTOE installed
in 2011 to 2.6 M capacity from
TOE in 2030. 4.9 MTOE in 2011 to 2.7 MTOE in 2030 or
share under the BAU. Correspondingly, the negative
increase at annually
a slower rate of
across the entire planning4.8 percent, a negative growth of 3.1 percent
to The 2,003 MW. On the
commissioning of other
hydro hand,
power supply projects ofwithin growth of biomass supply per will year (Figure
slightly improve to a
reaching 18.9
horizon, MTOE from level,
3.3 MTOE with a inlower
2011 geothermal energy in LCS will reach to around 25). It can be noted that
the planning period will be bringing an additional negative 2.1 percent due to its utilization for power the drop in biomass
average share to TPES
to 8.2 MTOE in 2030 (Figure 24). of 25.2 percent 18.8 MTOE, more than doubling its 2011 level of supply generation.
installed capacity of 3,535 MW. For the period 2012- stems from the residential sectors

compared to Thethat of BAU. gas
countrys This is due outlook
supply to the 8.62030,
MTOE, hydropower
and garnering will 64.0
constitute
percent an ofannual
total RE. average
decreasing demand for this fuel at around 10.3

governments efforts in promoting the share the of NREP,
around 4.8 percent to the total primary
will still be largely hinged on the Under geothermal energy capacity in percent annually, particularly fuel demand
utilization of renewable energy and cleaner
production of the Malampaya power generation shall increase by 75.0 percent reach
energy s upply, w hile u nder t he L CS i ts s hare w ill for household cooking and heating. However,
fuels in power generation for environmental
considerations.
field, including additional gas at up
theto end 5.7
ofpercent,
2030. where its supply will grow to 4.6 biomass supply in power generation will grow
(uncontracted gas) until 2025. MTOE in 2030, for yearly average rate of 3.5 percent.
considerably at an annual average rate of 6.4
By end of 2030 under the BAU, it will be expected that
Aside from the Libertad gas field Within the next 20 years under the BAU, hydropower percent due to additional capacities of biomass-
23. COAL SUPPLY, ACTUAL (LCS AND BAU) around 2.9 MTOE of fuel input for power generation 21
in Cebu which started commercial production Renewable
Meanwhile, natural Energy
gas supply will grow faster under supply will register a modest growth of 0.6 percent fed power does plants that
not include will be put up within the
biofuels
in 2010, potential gas fields foreseen to produce LCS growing at an annual average rate of 6.9 percent per year, from 2.4 MTOE in 2011 to 2.6 MTOE in planning period.
to reach 11.5 MTOE in 2030. Assuming realization of
PHILIPPINE ENERGY PLAN 2012-2030 31
commercially within the next 20 years include RE will account for an annual average share of 2030. The commissioning of hydro power projects
San Martin by 2015, Sultan sa Barongis and 32.6 percent production targets, acrossthe growth will also period
the planning be largely
(Figure within the planning period will be bringing an
due to the governments effort to promote the 21 does not include biofuels
utilization of green fuel for power generation (green
fuel means RE plus natural gas).

30 PHILIPPINE ENERGY PLAN 2012-2030 PHILIPPINE ENERGY PLAN 2012-2030 31
Renewable Energy

Meanwhile under the LCS, biomass supply will (oil, coal and natural gas) is foreseen to increase FINAL ENERGY DEMAND and 2030. It will surpass the residential sectors
take as much as 7.1 percent by of the total primary at 4.5 percent per year across the planning energy demand to become the second largest
energy supply end of 2030 compared to the 6.8 period, from 72.9 MtCO2e in 2011 to 168.2
OUTLOOK 2012 - 2030 energy consumer, with an average share of 33.7
percent share under the BAU. Correspondingly, MtCO2 in 2030. Emission from the consumption percent from 2012 to 2030. This consumption
the negative growth of biomass supply will of coal fuels shall account for an annual average
TOTAL FINAL ENERGY CONSUMPTION (TFEC) pattern will bring the household sectors energy
slightly improve to a negative 2.1 percent due to rate of 54.5 percent of the total GHG emission, demand to reduced share of 17.9 percent share
its utilization for power generation. while those from oil-based fuels will account for Under the LCS, the countrys TFEC is expected during the planning period. Meanwhile, the
an annual average share of 35.9 percent, with to increase at an average rate of 2.8 percent commercial sector which is considered to be the
Alternative Fuels natural gas contributing 9.6 percent.. annually from 2011 to 2030. The total energy major driver of the countrys economic growth
demand level is expected grow steadily from in the next
39.1 MTOE in 2030 at an annual average growth rate 20 28.
Figure years, TOTAL willFINAL
holdENERGY
an average share BY SECTOR
CONSUMPTION
A. Biodiesel Over the planning period, half or around 23.0 of
MTOE in 2011 Energy
2.8 percent. to 39.1consumption
MTOE in 2030 at of 11.9
is projected to percent. While the agriculture (including
SHARE (ACTUAL 2000-2011, LCS 2012-2030)

Alternative Fuels Over 52.0 percentperiod,


the planning of thehalf totalor aemission will
round 52.0 come
percent an annual
increase average growth
at a slower pace rate
of 1of
.4 p2.8 percent.
ercent fishery
from 2011 to and forestry - AFF) sector will remain to
Biodiesel supply under both scenarios is expected from total
of the the transformationemission will sector come orfrom
electricity the Energy2016, picking up fis
consumption rom 2016-2020
projected at an average
to increase at obe f 3the
.4 least energy user with 0.9 percent average
A. to reach
Biodiesel 1.8 MTOE in 2030 from its 2011 level generation. Meanwhile, from
transformation sector or electricity generation. among the energy percent,
a slower pacedof own
1.4to 3.2 percent
percent fromp2011 er year
to f2016,
or 2020-2025,
share of the total energy demand (Figure 28).
of 115.5 KTOE growing at an annual average end-use sectors, transport will
Meanwhile, from among the energy end-use sectors, account for the and
picking up up from
by 3.5 percent for at2025-2030
2016-2020 an average (Figure
of 3.427).
Biodiesel rate of under
supply 15.5 percent. Biodiesels
both scenarios contribution
is expected to transport biggest will share
account to the for total
the GHG emission
biggest around
share to the Energy use in the industry sector
Figure 27. TOTAL FINAL ENERGY CONSUMPTION BY SECTOR
reach 1.8 to the in
MTOE TPES is from
2030 also its
expected
2011 level to increase
of 115.5 from total translating
GHG emission to an annual
around average to
translating share of 24.7
an annual will grow most rapidly at 5.1 percent
kTOE growing
0.3 percent at an share
annual inaverage
2011 torate 2.4 percentof 15.5 share average percent,share followed
of 24.7 percent,
by industry followed
comprisingby industry
more annually, spurred by the foreseen
percent. in Biodiesels
2030. The contribution
target biodiesel to the blend,
TPES is which
also will
comprising
than 16.4 more than 16.4
percent, while percent,
around while
6.8 apercent
round 6will .8 increase in the activities of the
expected increaseto increase from 0.3 percent share in 2011
over the planning period under the come from other sectors such as commercial, percent will come from other sectors such as manufacturing sector. The energy
to 2.4 percent
biomass roadmapshare in 2030.
22
of The
the NREP,target requiresbiodiesel a total commercial,
residential residential and agriculture
and agriculture (Figure (Figure
26). 26). requirements of the commercial sector
blend, which will increase
biodiesel supply of 0.4 MTOE in over the planning period combined with trade and services will
under the biomass roadmap22 of the NREP, Figure 26. GHG EMISSION, 2011-2030 (LCS)
2016, 0.8 MTOE in 2020, and 1.7 expand by 2.7 percent on the average.
requires a total biodiesel supply of 0.4 MTOE
MTOE in 2025. Meanwhile, the increased utilization
in 2016, 0.8 MTOE in 2020, and 1.7 MTOE in
of alternative fuels will result to a
2025.
B. Bioethanol Energy
2.9 percent use increase
in the industry
in the sector
transport will grow mos

rapidly at
sectors energy5.1 percent
use. Onannually,
the other spurred by the
B. Bioethanol
While the move to increase utilization foreseen increase
hand, the residential and AFF sectors in the activities of th

of move
environment-friendly fuels of is manufacturing sector.
levels of demand will exhibit an annual The energy requirements o
While the to increase utilization
the commercial sector combined with trade and
further strengthened,
environment-friendly fuels is bioethanol further average contraction of 0.6 percent and
services will expand by 2.7 percent on the average
strengthened, blendbioethanol
is projected to is
blend increase
projected toto
a 0.8 percent, respectively.
Meanwhile, the increased utilization of alternativ
increase to a maximum blend of 20 percent in
maximum blend of 20 percent in
fuels will result to a 2.9 percent increase in the
2025. Over
2025. the planning
Over thehorizon, planning bioethanol
horizon,
transport sectors energy use. On the other hand, the
production under both
bioethanol scenarios under
production is projected
both 39.1 MTOE in 2030 at an annual average growth rate
percent, down to 3.2 percent per Figure 28. TOTAL FINAL ENERGY CONSUMPTION BY SECTORAL
Although the transport sectors energy demand SHARE residential
will (ACTUAL 2000-2011, and
LCSAFF sectors levels of demand wi
2012-2030)
to grow at an average
scenarios is projected to grow at anrate of 9.5 percent, of 2.8 percent. Energy
year for consumption and
2020-2025, is projected
up by 3.5 to
be tapered down with the penetration of more exhibit an annual average contraction of 0.6 percen
reflected faverage rom its lrate
evel of of 9.5
107.5kTOE
percent,ireflected n 2011to increase at a spercent
lower pace
foro2025-2030
f 1.4 percent from 2011
(Figure 27).to
efficient fuels, it will remain to be the biggest energy and 0.8 percent, respectively.
597.9 kTOE in 2030. Meanwhile, the energy 2016, picking up from 2016-2020 at an average of 3.4
from its level of 107.5KTOE in 2011to consumer in terms of average share across the entire
sectors aggressive target of up to 85 percent percent, down to 3.2 percent per year for 2020-2025,
597.9 KTOE in 2030. Meanwhile, the Although the transport sectors
planning horizon at 35.5 percent share. On the other Oil will remain as the countrys major fuel, with an
bioethanol blend is still under research and and up by 3.5 percent for 2025-2030 (Figure 27).
energy sectors aggressive target of energy demand will be tapered
hand, the industry sector is seen to account for much average share of 43.5 percent of the total energ
development stage.
up to 85 percent bioethanol blend is still under Meanwhile,
Meanwhile, under under the the
the LCS, LCS, the total
total GHG GHGdrop drop to Figure 27. TOTAL FINAL down of with
ENERGY
the increase
CONSUMPTION the in the
penetration countrys TFEC between 2011 demand (Figure 29). The countrys dependence on
BY SECTOR of
research and development stage. 137.1 to
M 137.1
tCO e iMtCO2e
n 2 030, w in 2030,
hile g rowth while
s growth
lows d own a slows
t a n moreand 2030. fuels,
efficient It will
it willsurpass
remain the residential sectors petroleum, in spite of foreseen increases of oil price
GHG EMISSION 2
down at an annual average rate of 3.4 percent to beenergy demand to become the second largest energy
the biggest energy consumer in the international market, will continue as demand
annual average rate of 3.4 percent over the planning
GHG EMISSION over Although
the planning bulk horizon. Although will bulk
come of consumer,
in terms of average with an
share average
across share of 33.7 percent increases by an average of 1.4 percent per year, from
Given the dynamics of energy demand under the BAU horizon. of the emission
the emission will come from
from the electricity generation sector, its share to the the electricity from 2012
the entire planning horizon at to 2030. This consumption pattern will 2011 to 2030. Among petroleum products, aviation
scenario, total GHG emission from fossil fuels (oil, coal
total generation
GHG shall be lower itsat share
48.6 percent only, GHG
vis--vis bring the household sectors energy demand to gasoline consumption will grow the fastest, at 8.9
and natural Given gas) the dynamics
is foreseen to of energyademand
increase under the
t 4.5 percent sector, to the total shall 35.5 percent share. On the other
its 5 2.5 p ercent s hare u nder t he B AU. reduced share of 17.9 percent share during the percent per year, with the heightened interest in loca
per year BAU scenario,
across total GHG period,
the planning emissionfrom from fossil 72.9 fuels be lower at 48.6 percent only, vis--vis its 52.5 hand, the industry sector is seen to
planning period. Meanwhile, the commercial sector tourism. Meanwhile, diesel and gasoline will continu
MtCO2e in 2011 to 168.2 MtCO2 in 2030. Emission percent share under the BAU. account for much of the increase in
which is considered to be the major driver of the to be the most widely-used petroleum products, with
from the 22 From the existing mandated 2.0% blend , biodiesel blend will
consumption of coal fuels shall account for FINAL ENERGY DEMAND OUTLOOK 2012 - the countrys TFEC between
increase to 5.0% starting 2015; 10% starting 2020; and, 20% countrys economic growth 2011 in the next 20 years, will average shares of 20.1 percent and 10.1 percent in
an annual average
starting 2025 rate onwards.
of 54.5 percent of the total 2030
GHG emission, while those from oil-based fuels will
hold an average share of 11.9 percent. While
Energy in the the
use the total sector
industry oil demand, respectively.
will grow most Transport wi
agriculture (including fishery and forestry - AFF)
rapidly at remain as the major petroleum
5.1 percent annually, spurred by the consuming secto
account for an annual average share of 35.9 percent,
TOTAL FINAL ENERGY CONSUMPTION sector will remain to be the least energy 0.9 with an average share of 67.9 percent in the total o
user with increase
foreseen in the activities of the
with natural gas contributing 9.6 percent.. demand
32 P H I L I P P I N E E N E R G Y P L A N 2 0 1 2 - 2 0 3 0 percent average share of the Ptotal energy demand
H I L Imanufacturing
PPINE ENE RG P L fA
Y The
sector. or Nthe
energy 20 entire
12-2 planning
0 3 0 pof
requirements eriod. 33

Under the LCS, the countrys TFEC is expected to (Figure 28). the commercial sector combined with trade and

percent average share, followed closely by the
residential sector with 32.0 percent (Figure 30).
Figure 29. FINAL ENERGY CONSUMPTION BY FUEL, 2000-2030 the volume of demand for petroleum Its consumption will increase more than four times annual average share of 35.5 percent in the

products by as much as 6.0 percent for its 2011 level of 1.8 MTOE, to 7.6 MTOE in 2030. TFEC. Its energy requirement is projected to
End-use demand (non-power application) for
thecoal nextis 20 years. to increase by 7.8 percent on
expected The rise in coal consumption can be attributed grow at an annual average of 2.9 percent, from
the average, owning a 13.5 percent share to the to the projected increase in the production of its demand level of 8.0 MTOE in 2011 to 13.6
percent average Electricity share, willfollowed
contribute closely
an average by the
of planning cement and basic metals which are used as MTOE in 2030. The bulk of the sectors energy
final energy demand across the entire
residential 22.9 s ector
percent w ith 3 2.0 p ercent
share to the will ( Figure
finalincrease 3 0).
energy more than construction materials for public and private demand will be used for land transport, where
Figure 29. FINAL ENERGY CONSUMPTION BY FUEL, 2000-2030 period. Its consumption
demand across the entire
four times its 2011 level of planning
1.8 MTOE, to 7.6 sector infrastructures. about 80.0 percent of domestic traffic and 60.0
End-use demand (non-power application) for
horizon, making it the second-most
MTOE in 2030. The rise in coal consumption can percent of freight traffic is by land24.
coal is expected to increase
be attributed by projected
7.8 percent on in the
consumed fuel to after the oil. Electricity increase Availability of efficient technologies, particularly
the average, owning a 13.5 percent share to the
production is of projected
cement and
consumption to basic
grow metals by which end-use equipment for household cooking using With the projected annual increase in vehicle
final energy are demand
u sed a s across
c the entire
onstruction m planning
aterials f or p ublic and
period. an average
Its private
consumption
s
of 3.8will
ector i
percent annually
increase
nfrastructures. more

over
than LPG and electricity will pave the way for reduction registration of 4.4 percent25, where 40.0 percent
the entire
four times planning
its 2011 level of horizon. Its use
1.8 MTOE, in
to 7.6 in the use of traditional fuels, and as such, end-use of the national total is registered vehicles in

the transport sector is seen to expand biomass consumption is projected to post a constant Metro Manila26, oil will remain as the sectors
MTOE in 2030. The rise in coal consumption can
Availability of efficient technologies, particularly
remarkably,
be attributed from
to the its 2011
projected level of
increase in 10
the decline in the next 20 years. Its consumption will major fuel, constituting the bulk (83.3 percent)
end-use equipment for household cooking using
production KTOEof tocement as much as basic
and 1.1 MTOE metals in 2030 which fall from its 2011 level of 4.8 MTOE to 2.6 MTOE in of the sectors total energy requirement for the
LPG and electricity will pave the way for
are used dueas to expected governments
construction materials for extension
public and 2030, translating to an average yearly decline of 3.3 next 20 years. Diesel will account for nearly half
reduction in the use of traditional fuels, and as
private and sector infrastructures.
expansion plans for the light rail percent. The residential sector, as the major user of of oil demand at 42.0 percent share . However,
such, end-use biomass consumption is projected
Oil The
will remainNREPs as targets on increasing
the countrys major mandated
fuel, with an biofuels system (MRT and LRT), possible addition biomass, is seen to significantly contribute to the a significant volume of its consumption will
blend for gasoline and diesel products will of Availability
other massof efficient
transit technologies,
systems, theparticularly
andCONSUMPTION entry ofBY reduction in biomass demand. Household usage be displaced due to the projected entry of
average share of 43.5 percent of the total energy Figure 30. TOTAL PRIMARY ELECTRICITY
increase total biofuel demand from 0.2 MTOE end-use equipment for household cooking using
demand (Figure 29). The countrys dependence electric vehicles. The industry sector will constitute SECTOR, 2000-2030 (ACTUAL VS LCS) of biomass will drop by as much as 50.6 in terms additional CNG-fueled buses and significant
in 2011 to 2.0 MTOE in 2030. Increasing the
on petroleum, in spite of foreseen increases of oil theLPG largest and portionelectricity will pave
of electricity demandthe way at 32.4 for of levels from 3.5 MTOE in 2011 to 0.4 MTOE increase in biodiesel blend, causing an annual
ethanol and biodiesel blend of gasoline and reduction in the use of traditional fuels, and as
prices in the
diesel, international
respectively, by 20 market,
percent will continue
in 2030 will percent average share, followed closely by the in 2030 or at an average rate of 10.3 percent per average reduction in the diesel demand of 0.4
such, end-use biomass consumption is projected
The NREPs
as demand targets on increasing
increases an mandated
by biofuels average biofuels residential sector with 32.0 percent (Figure 30). year. 1.7 However, there will beaand
noticeable increase percent (Figure 31).
expand demand for by ofas 1.4 percent
much as percent and percent for industrial commercial reduction in the diesel demand of 0.4 percent (Figure
blend for gasoline
per12.4 year, percent
from and
2011 diesel to products
per 2030.
year. Among will
The Figure
higher 30. TOTAL PRIMARY ELECTRICITY CONSUMPTION BY of 2.5 percent and 1.7 percent for industrial
biomass usage, respectively, during the planning 31). and
increase total biofuel demand from
petroleum products, aviation 0 .2 MTOE
gasoline
consumption of biofuels is projected to SECTOR, 2000-2030 (ACTUAL VS LCS) period. commercial biomass usage, respectively, during Gasoline is the second major fuel of the
in 2011 to
consumption2.0 MTOE
consequently willin lessen
2030. the
grow Increasing
fastest,
the volume atthe
8.9
of demand the planning period. sector. Due to increased penetration of auto-
Gasoline is the second major fuel of the sector. Due
ethanol and
percent biodiesel blend
per year, products
for petroleum of gasoline
with the heightened by as and
much as 6.0 Lastly, end-use demand for natural gas will expand by to increased LPG, electricpenetration of auto-LPG,
vehicles (including electric
e-trikesvehicles and
diesel, respectively,
percent by 20 npext
ercent
20 yiears.
n 2030 will 19.6 percent per year due to increased requirements (including e-trikes and hybrid vehicles) and significant
interest in for
localthe tourism. Meanwhile, Lastly, end-use demand for natural gas will expand hybrid vehicles) and significant increase in
expand demand for biofuels by as much as from the bytransport, industry

diesel and gasoline will continue to 19.6 percent per yearand due commercial
to increased
12.4 percent per year. The higher sectors. The
be Electricity
consumption the of most will contribute an
widely-used
biofuels petroleum
is projected
average of 22.9
to 23
requirements from the transport, total
CNG-fueled vehicles would industry to Figure 31. TRANSPORT ENERGY DEMAND
percent with
products, share
averageto the shares
final energy
of 20.1 demand 31,000 and units commercial
by 2030. sectors.
Natural
Thegas is also
CNG-fueled
consequently lessen the volume of demand expected to figure prominently as a fuel 23 it shall
across
percent products the entire
and 10.1 by planning
percent horizon,
in the making it vehicles would total to 31,000 units by
for petroleum as much as total
6.0 be used in several industrial parks, particularly in
the second-most consumed fuel after oil.
percent oil
for demand,
the next 20 respectively.
years. Transport 2030. Natural gas is also expected to figure
Electricity consumption is projected to grow South Luzon, as well as in other emerging industrial
will remain as the major petroleum prominently as a fuel it shall be used in
parks. Aside from this, natural gas technology is
by an average of 3.8 percent annually over
consuming
Electricity sector with
will contribute an average
an average of share
22.9 several
also expected industrial
to be parks,
used for particularly
cooling commercial in
the entire planning horizon. Its use in the
percent of share
67.9 to the in
percent final
the energy
total demand South as Luzon, as well as in other emerging
transport sector is oil demand
seen to expand centers, such large shopping malls.
across forthe the entire
entire planning
planning horizon,
period. making it industrial parks. Aside from this, natural
remarkably, from its 2011 level of 10 kTOE to
the second-most consumed fuel after oil. gas technology
TOTAL FINAL ENERGY is also expected to be used
CONSUMPTION, BY
as much as 1.1 MTOE in 2030 due to expected
Electricity consumption
Thegovernments
NREPs targets is projected
on and to grow
increasing for cooling commercial centers, such as
extension expansion plans to post a constant decline in the next 20 years. Its SECTOR
by an mandated
average of biofuels 3.8 percent annually over large shopping malls.
for the light rail blend system for (MRT
gasoline and LRT), possible consumption will fall from its 2011 level of 4.8 MTOE
the entire planning horizon. Its use in the
andaddition of other mass transit systems, and the entry
diesel products will increase total to 2.6 MTOE in 2030, translating to an average yearly Transport Sector
transport sector is seen to expand
of electric vehicles. The industry sector will constitute
biofuel demand from 0.2 MTOE in 2011 decline of 3.3 percent. The residential sector, as the TOTAL FINAL ENERGY
remarkably, from its 2011 level of 10 kTOE to
the largest portion
to 2.0 MTOE in 2030. Increasing the of electricity demand at 32.4 major user of biomass, is seen to significantly CONSUMPTION, BY SECTOR
The transport sector will continue to dominate the
as much as 1.1 MTOE in 2030 due to expected
ethanol and biodiesel blend of gasoline countrys total energy demand, with an annual
governments extension and expansion plans to post a constant decline in the next 20 years. Its Transport Sector
in 2030 End-use demand (non-power application) for average share of 35.5 percent in the TFEC. Its
for the and diesel,
PHILIPPINE
light respectively,