Coal-generated power remains the primary source of energy in the Philippines, surpassing China and Indonesia in dependence.

Coal-generated power remains the primary source of energy in the Philippines, surpassing China and Indonesia in dependence.
Coal-generated power remains the primary source of energy in the Philippines, surpassing China and Indonesia in dependence.
  • Last year, the Philippines' reliance on coal-fired power increased by 62%, making it the country with the highest surge in coal dependency, surpassing China, Indonesia, and Poland, according to Ember, a London-based energy think-tank.
  • In 2022, the Philippines became the most coal-dependent country in Southeast Asia as the share of electricity generated from coal increased from 59.1% to 61.9%.
  • In 2023, Indonesia, the world's fifth largest coal producer, experienced a surge in power generation from coal, reaching a fresh high of 61.8%.

Last year, the Philippines' reliance on coal-fired power increased by 62%, making it the country with the highest surge in coal dependency, surpassing China, Indonesia, and Poland, according to Ember, a London-based energy think-tank.

In 2023, the Philippines remained the most coal-dependent country in Southeast Asia, with the share of electricity generated from coal increasing to 61.9% from 59.1% the previous year.

Despite a 4.6% increase in electricity demand, coal generation in the country increased by 9.7%.

Coal has been crucial to the Philippines' energy security. In the 1990s, numerous new coal power plants were constructed to meet the increasing electricity demand, according to Dinita Setyawati, senior electricity policy analyst for Southeast Asia at Ember Climate, who spoke to CNBC.

"To date, dependency on these coal power plants continues."

In 2023, Indonesia, the world's fifth largest coal producer, experienced a surge in the share of power generated from coal, reaching a fresh high of 61.8%.

Coal dependency in Indonesia and the Philippines is increasing rapidly, making them the most coal-dependent countries in Southeast Asia, according to a report. The region's coal reliance grew by 2% from 31% in 2022 to 33% last year.

Ember reports that China has made progress in decreasing its dependence on the most polluting fossil fuel for power generation, with demand reaching 60.7% in 2023, lower than India at 75.2% and Poland at 61%.

Despite being the world's largest coal producer, China has made significant advancements in renewable energy development, resulting in a decrease in the rate of emission increase from an average of 9% annually between 2001 and 2015 to 4.4% annually between 2016 and 2023. Clean electricity accounted for 35% of China's total electricity generation, according to an energy think tank in May.

Indonesia, Philippines lag in renewables

The shift from coal to renewable energy in Indonesia and the Philippines' electricity mix is crucial, but it will take several years to achieve.

The report stated that Indonesia and the Philippines have experienced minimal growth in their renewable electricity generation due to their wind and solar potential remaining largely unexplored.

The Philippines' wind and solar generation only increased from 0.5 TWH in 2015 to 3.7 TWH in 2023, which is significantly slower than the growth in the rest of the region, where wind and solar generation increased by 46 TWh from 2015 to 2023, mainly due to Vietnam, according to the report.

Ember's Setyawati advised CNBC that scaling up on renewable energy sources should be done simultaneously with halting the coal-fired power generation in Indonesia and the Philippines.

The government of Indonesia must increase its renewable energy aspirations, as stated, and new policies to promote the development of solar and wind power should be implemented.

"Incentives for rooftop solar users, relaxed local content requirements for wind and solar power producers, and public research funding in solar and wind technologies are examples of government policies aimed at promoting renewable energy."

by Charmaine Jacob

Technology