JBIC Holds Seminar on Microgrid Business in the Philippines

Presentation by NISHIU Tomohiko, Deputy Director of JBIC's New Energy and Power Finance Department I

The Manila representative office of the Japan Bank for International Cooperation (JBIC) held a seminar on the microgrid^*1 business in the Philippines on January 24, 2020. The event was attended by about 100 people, including Japanese and Philippine government officials as well as representatives of Japanese companies interested in the microgrid business in the Philippines.

As the Philippines is comprised of over 7,000 islands, its power grid network (electricity transmission grid) does not cover the whole country, so many regions of the country do not have access to electricity. Under such circumstances, the government of the Philippines is striving to boost the country's electrification rate by proactively introducing renewable energy sources for power generation. The objective of the seminar was to explain about the possibility of introducing a microgrid system using renewable energy sources, particularly wind power, by utilizing Japanese companies' expertise and technology in the renewable energy sector. The seminar was also intended to encourage Japanese companies to participate in renewable energy projects in the Philippines in order to increase their business opportunities.

In the opening of the seminar, officials from the Japanese and Philippine governments talked about the business environment as well as the regulatory and legal framework for the renewable energy sector in the Philippines. This was followed by a presentation by Challenergy Inc., inventor of the Magnus Vertical Axis Wind Turbine, a next-generation wind turbine, which included a discussion on the summary of a survey commissioned by Japan's Ministry of Economy, Trade and Industry, titled "FY2019 Research and Survey on Infrastructure Development Supported under Japan's Joint Crediting Mechanism (JCM) Program." The said research is a feasibility study on the development and expansion of diversified infrastructure in island states through the introduction of microgrid technology using renewable energy sources, such as wind and solar. Challenergy aims to launch power generation projects in places with low or no access to electricity.

NISHIU Tomohiko, Deputy Director of JBIC's New Energy and Power Finance Department I, explained JBIC's Global Facility to Promote Quality Infrastructure Investment for Environmental Preservation and Sustainable Growth (QI-ESG), which was launched in July 2018, and its Special Operations, which were established to further encourage Japanese companies to export infrastructure. He also talked about the possibilities and guidelines of support for projects in the fields of renewable power and microgrid systems.

Participants were actively involved in the discussions about the issues of commercialization of microgrid systems, cooperation with local governments and Electric Cooperatives as well as simplification of application procedures for government approvals and licenses. As a public financial institution, JBIC will continue to support Japanese companies in expanding their business ventures overseas while working closely with Philippine government officials.

Seminar