Philippines : Supporting Offshore Wind Port Development Planning

Sovereign Project | 57280-001

The TA will support the government's ambition for developing wind power in the Philippines by preparing (i) pre-feasibility study reports for offshore wind (OSW) ports which are essential associated infrastructure facility for OSW construction, operation, and maintenance; (ii) a list of priority ports for OSW development, considering multiple factors such as port upgrading cost, construction time, port scalability, social and environment safeguard impact, financial sustainability, proximity of OSW sites, and grid connection access to identify priority OSW sites; and (iii) an OSW port development time-bound action plan for the government to enable OSW build-out from 2028 onwards. The TA will support the key strategic pillar of ADB's strategy 2030: tackling climate change, building climate and disaster resilience, and enhancing environmental sustainability by accelerating low greenhouse gas emission development.

Project Details

Project Name Supporting Offshore Wind Port Development Planning
Project Number 57280-001
Country / Economy Philippines
Project Status Active
Project Type / Modality of Assistance Technical Assistance
Source of Funding / Amount
TA 10278-PHI: Supporting Offshore Wind Port Development Planning
Climate Change Fund US$ 400,000.00
Operational Priorities OP3: Tackling climate change, building climate and disaster resilience, and enhancing environmental sustainability
Sector / Subsector

Energy / Energy sector development and institutional reform

Transport / Transport policies and institutional development

Gender No gender elements
Description The TA will support the government's ambition for developing wind power in the Philippines by preparing (i) pre-feasibility study reports for offshore wind (OSW) ports which are essential associated infrastructure facility for OSW construction, operation, and maintenance; (ii) a list of priority ports for OSW development, considering multiple factors such as port upgrading cost, construction time, port scalability, social and environment safeguard impact, financial sustainability, proximity of OSW sites, and grid connection access to identify priority OSW sites; and (iii) an OSW port development time-bound action plan for the government to enable OSW build-out from 2028 onwards. The TA will support the key strategic pillar of ADB's strategy 2030: tackling climate change, building climate and disaster resilience, and enhancing environmental sustainability by accelerating low greenhouse gas emission development.
Project Rationale and Linkage to Country/Regional Strategy

Decarbonizing power sector. The Government of the Philippines issued the first Nationally Determined Contribution in 2021, which targets to reduce greenhouse gas emission by 75% in comparison with business-as-usual scenario by 2030. The power sector is a major source of greenhouse gas emission in the Philippines because of heavy dependence on coal-fired power generation which accounts for 59.5% of total power generation in 2022. The Philippine Energy Plan 20202040 (PEP) targets to increase the share of renewable energy in generation mix to 35% by 2030, which requires additional 29.5 gigawatt (GW) of renewable energy capacity.

Accelerating offshore wind development. OSW is a potent renewable energy technology option to substantially contribute to achieving the PEP target by 2040. The World Bank and the Department of Energy (DOE) jointly released the Offshore Wind Roadmap in 2022 which aims to build out OSW by 2028 at the earliest and sees 20.5GW installation capacity by 2040 and 40.5GW by 2050.d DOE had granted 77 of OSW service contracts, which allows private developer to carry out preliminary survey by September 2023. However, the government is required to urgently finalize the OSW regulatory framework and associated infrastructure development plan to meet OSW build-out target by 2028. ADB's ongoing TAe is supporting DOE and the Energy Regulatory Commission to develop enabling regulatory framework for penetration and wider uptake of OSW in the power generation mix. In parallel, the World Bank is also supporting transmission system development planning for renewable energy power evacuation that includes OSW power.

Urgent need to prepare offshore wind port development plan. OSW port is an essential associated infrastructure facility in the entire OSW value chain as it serves for assembly, storage and shipping, installation, operation and maintenance, and decommissioning. However, the government has not paid sufficient attention to OSW port development planning which has become one of major concerns among potential investors. Assessing preliminary feasibility of OSW port is also essential to identify OSW priority sites for earlier deployment, while factoring available wind resource, grid capacity and access, and proximity of power load demand centers.

Impact

Increase share of renewable energy to 35% in generation mix by 2030 and 50% by 2040

Project Outcome
Description of Outcome

Priority OSW port operationalized

Progress Toward Outcome
Implementation Progress
Description of Project Outputs

Pre-feasibility studies prepared for candidate offshore wind ports.

Priority offshore wind sites identified and action plan prepared.

Capacity of OSW port planning enhanced.

Status of Implementation Progress (Outputs, Activities, and Issues)
Geographical Location Nation-wide
Summary of Environmental and Social Aspects
Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design
During Project Implementation
Responsible ADB Officer Yamamura, Shigeru
Responsible ADB Department Sectors Group
Responsible ADB Division Energy Sector Office (SG-ENE)
Executing Agencies
Department of Energy
Department of Transportation
Philippine Ports Authority
Timetable
Concept Clearance 18 Dec 2023
Fact Finding 09 Jan 2024 to 09 Jan 2024
MRM -
Approval 05 Feb 2024
Last Review Mission -
Last PDS Update 05 Feb 2024

TA 10278-PHI

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
05 Feb 2024 13 Mar 2024 13 Mar 2024 31 Jan 2025 - -
Financing Plan/TA Utilization Cumulative Disbursements
ADB Cofinancing Counterpart Total Date Amount
Gov Beneficiaries Project Sponsor Others
400,000.00 0.00 0.00 0.00 0.00 0.00 400,000.00 17 May 2024 0.00

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Title Document Type Document Date
Supporting Offshore Wind Port Development Planning: Technical Assistance Report Technical Assistance Reports Feb 2024

Safeguard Documents See also: Safeguards
Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.

None currently available.


Evaluation Documents See also: Independent Evaluation

None currently available.


Related Publications

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The Access to Information Policy (AIP) establishes the disclosure requirements for documents and information ADB produces or requires to be produced in its operations to facilitate stakeholder participation in ADB's decision-making. For more information, refer to the Safeguard Policy Statement, Operations Manual F1, and Operations Manual L3.

Requests for information may also be directed to the InfoUnit.

Tenders

Tender Title Type Status Posting Date Deadline
Offshore Wind Port Development Planning - Consulting Firm Firm - Consulting Closed

Contracts Awarded

No contracts awarded for this project were found

Procurement Plan

None currently available.