The Department of Energy (DOE) has confirmed more than 12 proposed geothermal projects are set to benefit from the Philippine Geothermal Resource De-Risking Facility (PGRDF), a ₱10.07-billion program designed to clear key barriers to renewable energy investment. Energy undersecretary Rowena Cristina Guevara shared the update on Monday, noting an additional five projects stand as backup, with several proposals involving partial foreign ownership—though no foreign entity holds a 100 percent stake in any initiative.
Approved by the Economy and Development Council last July, the PGRDF directly addresses one of the sector’s biggest hurdles: the steep upfront costs and geological uncertainty that have long slowed geothermal exploration and development. Operationalized through a memorandum of agreement signed between the DOE and Land Bank of the Philippines last December, the facility assigns clear roles to ensure smooth implementation. The DOE leads policy direction, sets technical and eligibility standards, and oversees overall program governance, while Land Bank manages day-to-day operations including application reviews, milestone-based fund disbursements, collections, and reporting. The Asian Development Bank (ADB) will soon launch a tender to bring in technical experts who will assist the DOE in evaluating applications, with all proponents also required to undergo review by the Department of Finance and the Department of Economy, Planning and Development.
As of end-June 2026, geothermal energy accounts for 1,994 megawatts or 6.1 percent of the country’s total installed grid capacity of 32,582 MW. The Philippines ranks as the world’s third-largest geothermal producer, trailing only the United States and Indonesia, and the new facility marks a key policy push to expand that clean energy contribution while strengthening energy security and attracting responsible investment.
