The Department of Energy (DOE) has terminated 84 renewable energy service contracts this 2025 after developers failed to implement their contractual obligations.
These service contracts cover an “estimated 5,372.209 megawatts (MW) of potential capacity that had been factored into the country’s energy planning assumptions,” the DOE said in a press release Wednesday.
These were terminated “due to developers’ non-compliance with work program requirements, failure to satisfy the Green Energy Auction Program (GEAP) Terms of Reference, and non-adherence to established DOE standards.”
These actions, it said, “follow a comprehensive technical and legal evaluation of the affected projects’ compliance with the material terms and conditions of their respective service contracts.”
“The DOE will continue to uphold high standards for the succeeding GEAP rounds and may impose further sanctions, including blacklisting, forfeiture of performance bonds, and the imposition of applicable penalties,” it said.
The DOE said 43 other RE projects are under enforcement review and may be subject to termination.
With a big chunk of potential capacities unmet, the DOE said it is “actively revisiting supply-demand scenarios and undertaking further system planning to determine appropriate next steps toward meeting established generation targets.”
“Renewable energy development must be fast, but it must also be accountable. The DOE will not compromise on contract discipline. Service contracts are performance commitments, and renewable energy projects must deliver real, reliable power for Filipino consumers,” Energy Secretary Sharon Garin said.
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