Masdar Enters The Philippines Renewables Market

Abu Dhabi Future Energy Company (Masdar), the UAE’s clean energy leader, has announced that it has entered into the Philippines market, signing agreements with the government of the Philippines to develop 1 gigawatt (GW) of clean energy projects to strengthen its growing portfolio in Southeast Asia.

The agreement with the Department of Energy and the Memorandum of Understanding (MOU) with the Board of Investments of the Philippines covers the development of solar, wind and battery energy storage systems (BESS) with a total capacity of up to 1 GW by 2030.

The signing ceremony of both agreements was witnessed by Dr Sultan Al Jaber, UAE Minister of Industry and Advanced Technology and Chairman of Masdar and Raphael P M Lotilla, Secretary of Energy of the Philippines, Masdar said in a release.

The agreement, will support the Philippines Energy Transition Program to achieve 35% renewable energy in power generation by 2030 and 50% by 2040, and operationalises the MOU on Energy Transition Cooperation signed between the Philippines and the UAE during the working visit of Philippine President Ferdinand R. Marcos Jr. to the country in November 2024.

Dr Sultan Al Jaber said that this partnership marks a new chapter in the longstanding relationship between the UAE and the Philippines. By leveraging the UAE’s world-class expertise in renewable energy and the Philippines’ abundant natural resources, this agreement will create jobs, drive low-carbon socio-economic progress and expand global renewable energy capacity in line with the UAE Consensus, he said.

Lotilla emphasised that the landmark partnership underscores the Philippines’ commitment to a clean energy future. By integrating renewable energy into the country’s energy mix on an unprecedented scale, the government was enhancing energy security while laying a strong foundation for sustainable economic growth and environmental stewardship.

Ceferino S. Rodolfo, Undersecretary at the Philippines Department of Trade and Industry, and Board of Investments Managing Head, said that the partnership with Masdar is a testament to their mutual commitment to fostering a dynamic and sustainable economic future, and the shared vision for economic sustainability and prosperity.

He also said that the Philippines has been making significant strides in the renewable energy sector and Masdar’s own planned renewables projects will contribute to accelerating sustainable economic growth in the different regions in the Philippines, and will especially complement our infrastructure development initiatives within the Luzon Economic Corridor (LEC) — Subic Bay, Clark, Manila, and Batangas — which is being developed as an economic hub for commerce, industry, and logistics.

Key Investment Destination

Mohamed Jameel Al Ramahi, said that his company’s activities in Southeast Asia, a key strategic market in their ongoing efforts to achieve a renewable energy capacity of 100 GW by 2030.

Southeast Asia is a key investment destination for Masdar and it has developed the region’s largest floating solar facility in Indonesia – the 145 MW Cirata Floating Solar PV plant – which is generating enough electricity to power 50,000 homes.

In February 2023, it entered the geothermal energy sector through a strategic investment in Pertamina Geothermal Energy. Masdar also signed a landmark agreement with the Malaysian Investment Development Authority in 2023 for the development of 10GW of clean energy projects across the country, he said.