Group alarmed by new gas project

CLEAN energy think tank Center for Energy, Ecology, and Development (CEED) on Monday raised concern that the Japanese government is moving in the opposite direction in the Philippines' transition to full use of renewables.

The group made the reaction after Japan Bank for International Cooperation (JBIC) announced that it has signed a memorandum of agreement (MoA) with three major energy firms for the rollout of the Japanese-led Asia Zero Emission Community (AZEC) platform in the Philippines.

«AZEC has been repeatedly denounced as a ploy to promote detrimental energy in developing countries in Asia, particularly with fossil gas and unproven fossil-friendly technologies,» Gerry Arances, CEED executive director, said.

«That critique is affirmed by JBIC's partnership with the Philippines' biggest fossil fuel champions. Japan, clearly, is championing gas as 'bridge fuel' deception at the cost of the Philippines' climate ambitions,» Arances said.

SMC, Aboitiz and MPIC, through Meralco's power generation arm, are jointly pushing for 23 GW of new gas-fired power-generating facilities, which is equivalent to 80 percent of total installed capacity.

The three companies are also in talks to acquire the Philippines' first LNG import terminal, owned by the Atlantic Gulf & Pacific Co., which was funded by JBIC and is currently undergoing an internal investigation by the bank for environmental violations and community impacts.

«With this development, the Japanese government and, by extension, the Philippine government are revealing a clear lack of commitment to a genuine renewable energy transition,» said Arances.

«This is unacceptable for a country facing some of the worst impacts of the intensifying climate crisis and where fossil fuel-based power generation is causing death and destruction in vulnerable communities,» he said.

«We are a country whose abundant renewable energy resources make a 100 [percent] transition aligned to the 1.5 [C] climate goal possible. The focus should be on unlocking this, and not in putting up more gas,» Arances said.

The MoU with JBIC, Arances said, was concerning because of JBIC's record of promoting fossil fuels.

JBIC is the biggest