THE Department of Energy (DOE) on Thursday released a draft policy that will enhance the development of waste-to-energy (WTE) facilities in the country.
WTE converts non-recyclable waste materials into heat, electricity or fuel. The DOE wants WTE included in the qualified RE generating units considered as “must dispatch.”
“Must dispatch preference is given to power generation from eligible WTE facility in hierarchy of dispatch schedule,” it said, adding that the agency deems it necessary to issue a policy to “further support as well as address issues and concerns in the development of WTE in the Philippines.”
Moreover, DOE said it recognizes that WTE facility projects simultaneously achieve the twin socioeconomic benefits of local government units’ (LGUs) solid waste management and provision of additional source of power supply.
The draft circular states that incentives will be given to distribution utilities procuring energy from eligible WTE facilities. “For every 1 megawatt sourced from duly registered eligible WTE facility shall be given two renewable energy certificates [REC] under the renewable energy market.”
For WTE facilities with embedded system to Distribution Utilities (DU), a competitive selection process (CSP) must be conducted. The power supply contract between the DU and the WTE facility will be valid for 10 years.
However, WTE projects initiated and completed by LGUs shall be exempted from the CSP.
The DOE said it would accept until September 8 comments from industry stakeholders on the draft circular.
There is a proposed measure at the Senate allowing the use of WTE facilities in waste treatment and disposal and to generate sustainable energy.
Under Senate Bill 363 or the Waste-to-Energy Act (WTE Act), only waste treatment technologies that do not emit toxic and poisonous fumes into the environment will be allowed to operate. If the WTE facility is found non-compliant, it will be penalized and can be shut down by the Department of Environment and Natural Resources.
The project proponent will be the one to shoulder the expense in the construction and operation of the facility.