Commercial solar power in the Philippines

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Commercial solar power in the Philippines refers to grid-connected and behind-the-meter photovoltaic (PV) systems serving commercial, industrial, and institutional consumers. The segment is shaped by the Renewable Energy Act of 2008 (Republic Act No. 9513),[1] Energy Regulatory Commission (ERC) net metering rules,[2] Department of Energy (DOE) circulars,[3] and corporate procurement mechanisms such as the Retail Competition and Open Access (RCOA) and the Green Energy Option Program (GEOP).[4]

According to DOE data, cumulative net metering installations reached about 141 MW between 2015 and 2024, with a further 252 MW registered as “own-use” renewable energy projects.[5] In 2025, the Institute for Climate and Sustainable Cities (ICSC) launched the SPECTRUM rooftop solar mapping tool, which detected around 1,846 MW of rooftop capacity nationwide, considerably higher than official registration figures.[6][7] The gap between detected and registered capacity has been noted in national media in the context of planning and grid reliability.[8]

Policy and regulation

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Net metering (≤100 kW)

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The ERC’s Net Metering Rules allow qualified end-users to interconnect renewable systems up to 100 kW and receive bill credits for exported energy at the distribution utility’s blended generation cost.[2] DOE’s 2020 circular broadened coverage and clarified annual expectations for net generators.[3]

2024 update

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In August 2024, DOE issued Department Circular DC2024-08-0025, enabling unused net metering credits to be banked and removing the requirement for a separate REC meter, subject to ERC guidelines.[9]

Distributed Energy Resources (100 kW–1 MW)

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The ERC’s DER Rules, effective December 2022, set compensation at 75% of the blended generation rate for 100–500 kW projects and 60% for 500 kW–1 MW, with an export cap of 30% of nameplate capacity.[10] Projects require a Distribution Impact Study (DIS), a Distribution Asset Study (DAS), and compliance with national distribution codes.[11]

Corporate procurement (RCOA and GEOP)

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Under RCOA, contestable customers with monthly peak demand above 500 kW may contract directly with licensed Retail Electricity Suppliers (RES). Under GEOP, consumers with ≥100 kW demand may contract renewable supply from DOE-authorized providers.[4][12]

Market development

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DOE reports place cumulative net metered capacity at around 141 MW from 2015–2024, with 252 MW of registered “own-use” projects.[13] Independent assessments, including ICSC’s 2025 SPECTRUM mapping, estimated rooftop capacity of about 1,846 MW nationwide, more than seven times the officially registered amount.[14][15]

Analysts estimate that only about 21% of rooftop PV capacity is formally registered and regulated,[16] creating uncertainty for demand forecasting and grid planning. Independent estimates place delivered rooftop generation costs between ₱2.50 and ₱5.30 per kWh, generally below prevailing retail electricity tariffs.[17]

Interconnection and standards

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Distribution utilities follow the Net Metering Interconnection Standards (ERC 2013 annex) and the Philippine Electrical and Distribution Codes for protection and safety.[2] Utilities and DOE also issue technical manuals on commissioning and testing.[18]

Market participants

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Independent reporting identifies several firms active in the Philippine commercial solar segment, including EPCs, developers, and distribution utilities.[19]

Key participants

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  • TotalEnergies Philippines – reported entry into distributed solar.[20]
  • Aboitiz Power Corporation – operates through AboitizPower Distributed Energy.[21]
  • Solaren Renewable Energy Solutions – Central Luzon–based EPC, recognized for a 2.16 MWp commercial rooftop solar project in Calamba, Laguna, which won the 2019 Asian Power Award for “Solar Power Project of the Year – Philippines”.[22] The company has also been profiled in Asia Business Outlook as a provider of premium solar installations in the Philippines.[23]
  • Solaric Corporation – noted for rooftop installations in Metro Manila.[24]
  • Philergy Solar – EPC with German-Filipino ownership in Manila.[25]
  • Buscovitz Energy – provider active in Luzon.[26]
  • SolarNRG Philippines – affiliate of Dutch firm SolarNRG, active in residential and commercial installations in Metro Manila and nearby provinces.[27]

Corporate renewable suppliers (RCOA / GEOP)

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DOE’s official GEOP supplier list (May 2024) included:[28]

  • ACEN Corporation (Ayala retail arm)
  • First Gen Energy Solutions, Inc.
  • Aboitiz Energy Solutions, Inc.
  • Shell Energy Philippines

Barriers to adoption

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Sources identify several issues affecting wider deployment:[29][30]

  • Interconnection and permitting: approval processes are described as lengthy.
  • Capital costs: upfront investment requirements remain significant.
  • Local government procedures: cited as adding steps to permitting and compliance.
  • Policy adjustments: changes to incentives and net metering rules affect investor confidence.
  • Unregistered rooftop systems: capacity outside formal registration raises concerns for planning and grid stability.

See also

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References

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  1. ^ "Renewable Energy Act of 2008 (Republic Act No. 9513)". Asia Pacific Energy Portal. August 31, 2025. Retrieved August 31, 2025.
  2. ^ a b c "Guidebook on Net Metering in the Philippines (2022)". Department of Energy (Philippines). Retrieved August 31, 2025.
  3. ^ a b "DOE Department Circular DC2020-10-0022 (Policies to Enhance the Net Metering Program)". Department of Energy (Philippines). Retrieved August 31, 2025.
  4. ^ a b "Primer on the Green Energy Option Program (GEOP)". Department of Energy (Philippines). Retrieved August 31, 2025.
  5. ^ "PH push for renewable energy yields record-breaking installations in 2024". Department of Energy (Philippines). February 10, 2025. Retrieved August 31, 2025.
  6. ^ "ICSC finds over 1,800 MW potential solar rooftop capacity in the Philippines". GMA News. July 17, 2025. Retrieved August 31, 2025.
  7. ^ "ICSC launches SPECTRUM solar mapping tool to expose data gaps". Power Philippines. July 16, 2025. Retrieved August 31, 2025.
  8. ^ "Philippines' rooftop solar capacity estimated at over 1.8 GW". PV Magazine. July 17, 2025. Retrieved August 31, 2025.
  9. ^ "DOE Department Circular DC2024-08-0025". Department of Energy (Philippines). August 2024. Retrieved August 31, 2025.
  10. ^ "ERC DER Rules 2022". Energy Regulatory Commission (Philippines). Retrieved August 31, 2025.
  11. ^ "Distribution Code of the Philippines". Energy Regulatory Commission (Philippines). Retrieved August 31, 2025.
  12. ^ "First Gen, Aboitiz, and Shell expand renewable supply under GEOP". Business Mirror. May 12, 2024. Retrieved August 31, 2025.
  13. ^ "DOE renewable energy data report 2024". Department of Energy (Philippines). Retrieved August 31, 2025.
  14. ^ "ICSC mapping shows rooftop solar potential". GMA News. July 17, 2025. Retrieved August 31, 2025.
  15. ^ "Unlocking Rooftop Solar in the Philippines". Institute for Energy Economics and Financial Analysis (IEEFA). August 2018. Retrieved August 31, 2025.
  16. ^ "ICSC launches SPECTRUM solar mapping tool". Power Philippines. July 16, 2025. Retrieved August 31, 2025.
  17. ^ "Philippines rooftop solar cost analysis". Energy Regulatory Commission. 2023. Retrieved August 31, 2025.
  18. ^ "ERC Net Metering Interconnection Guidelines". Energy Regulatory Commission. Retrieved August 31, 2025.
  19. ^ "Philippine solar market overview". Institute for Climate and Sustainable Cities. 2024. Retrieved August 31, 2025.
  20. ^ "TotalEnergies rolls out rooftop solar projects in the Philippines". PV Magazine. June 15, 2022. Retrieved September 1, 2025.
  21. ^ "AboitizPower expands C&I rooftop solar projects". Philippine Daily Inquirer. March 12, 2023. Retrieved September 1, 2025.
  22. ^ "PROINSO and SOLAREN Win the Asian Power Award for 2.16 MWp Commercial Solar Rooftop Project". Proinso – News Room. September 5, 2019. Retrieved September 1, 2025.
  23. ^ "Solaren Renewable Energy Solutions: Setting the Benchmark for Premium Solar Installations and Future-Ready Energy in the Philippines". Asia Business Outlook. 2025. Retrieved September 1, 2025.
  24. ^ "Philippines rooftop solar market attracts corporate uptake". PV Tech. September 14, 2023. Retrieved September 1, 2025.
  25. ^ "Philergy Solar – official website". Philergy. Retrieved September 1, 2025.
  26. ^ "Independent rooftop solar provider in Luzon". Manila Times. March 15, 2024. Retrieved September 1, 2025.
  27. ^ "SolarNRG expands rooftop solar services in the Philippines". Business Mirror. June 22, 2023. Retrieved September 1, 2025.
  28. ^ "DOE GEOP Supplier List May 2024". Department of Energy (Philippines). Retrieved August 31, 2025.
  29. ^ "Philippines rooftop solar policy analysis". Institute for Climate and Sustainable Cities. 2025. Retrieved August 31, 2025.
  30. ^ "Permitting and policy cited as barriers to solar uptake". Business Mirror. 2024. Retrieved August 31, 2025.