
This initiative follows the country’s first microgrid auction held in November 2023, with contracts awarded in April 2024. The second auction was conducted later in 2024. The DOE continues to build on these efforts to expand energy access, especially in remote areas lacking reliable power supply.
According to the DOE, microgrid service providers who are awarded contracts during the third round will automatically be granted Energy Project of National Significance (EPNS) status. This designation enables the fast-tracking of required permits and licenses, aiming to reduce bureaucratic delays and speed up project implementation.
The department also plans to introduce more flexible contractual conditions and exemptions from certain financial requirements. These adjustments are designed to encourage broader participation from both local and international developers.
Undersecretary Rowena Cristina L. Guevara stated: “The third auction round marks a pivotal step in our push for total electrification.” She added: “By streamlining regulatory procedures, introducing policy innovations, and strengthening coordination across government and the private sector, we are sending a clear signal: the Philippines is ready and open for sustainable microgrid investments.”
The DOE’s efforts are part of a broader national strategy to promote renewable energy solutions and improve electricity access. Microgrids, which operate independently or alongside the main grid, are seen as effective tools to deliver stable electricity to communities that are geographically isolated or difficult to reach through conventional infrastructure.
In parallel with these developments, the Philippines has continued to expand its renewable energy capacity. According to the International Renewable Energy Agency (IRENA), the country reached a cumulative installed solar capacity of 2.97 GW by the end of 2024, up from 1.8 GW in 2023. This growth reflects ongoing investments in clean energy to diversify the country’s power mix and support long-term sustainability goals.
The third microgrid auction aligns with national efforts to enhance energy resilience and promote inclusive growth, by ensuring more communities benefit from reliable and sustainable electricity solutions. As the DOE finalizes preparations, stakeholders across the energy sector are expected to closely follow the announcement of the bidding timeline.