The Board of Investments (BOI) is considering whether coal mining and production should be added to the list of activities eligible for fiscal perks under the upcoming Strategic Investment Priority Plan (SIPP), a move that could benefit Semirara Mining and Power Corp. (SMPC), the country’s largest coal producer.
The issue emerged during BOI public consultations on the new SIPP, where stakeholders proposed including coal mining to help reinforce energy security.
Coal accounts for roughly 60 percent of the Philippines’ power generation mix, underscoring its continued role in the energy system.
A draft version of the SIPP, however, currently excludes coal from priority activities.
BOI managing head Ceferino Rodolfo said the agency is still evaluating which sectors could be added before the final plan is released.
“There are certain activities being eyed for inclusion,” Rodolfo said, noting that the SIPP is expected to be finalized and signed ahead of the State of the Nation Address in July.
The deliberations come as SMPC seeks to extend its rights to operate the country’s largest coal mine on Semirara Island, a cornerstone asset for the company.
The outcome of the bidding process will determine whether it retains control of the resource-rich concession.
Uncertainty over the concession has weighed on investor sentiment, with some market participants reportedly trimming exposure to SMPC shares to reflect the risk of a potential loss of the mining area.
Industry players argue that classifying coal mining as a priority activity could help stabilize power supply while the Philippines advances its transition toward cleaner energy sources.
