Solar Energy Solutions for Businesses in the Philippines
The Philippines faces some of the highest and most volatile power prices in Southeast Asia. TotalEnergies ENEOS provides solar energy solutions for businesses in the Philippines that help reduce electricity costs, cut diesel consumption, lower carbon emissions and improve energy security, often without requiring upfront investment.
High and Volatile Energy Costs in the Philippines
Electricity prices in the Philippines are driven up by a combination of high taxes, transmission and distribution charges, and limited subsidies for consumers. At the same time, electricity demand has been growing at around 6 percent per year, putting added pressure on the grid and on supply costs for commercial and industrial users.
Many businesses still rely heavily on diesel generators to cover outages, deal with grid constraints or manage peak loads, and for more than 40 percent of companies diesel is a significant part of their energy mix. Diesel is expensive, subject to global oil price swings and comes with logistical and environmental burdens, so this dependence exposes businesses to cost spikes and operational risk.
on-site solar offers a practical way to stabilise part of a company’s energy costs. By generating clean electricity on rooftops or available land, businesses can offset a portion of grid and diesel usage, reduce exposure to tariff volatility and fuel price shocks, and turn unused space into a productive energy asset.
Government Renewable Energy Targets and Policy Measures
The Philippines has set a renewable energy target of around 50 percent of generation by 2030, with plans to add several gigawatts of new renewable capacity, including solar, into the system. Policy makers are looking to diversify away from imported fossil fuels, improve energy security and meet climate commitments, and solar is expected to play a major role in this transition.
To accelerate uptake, the government has expanded its net metering program so that systems up to 1 MWp can export excess electricity to the grid and receive credits on their bills. Rules have also been updated to allow full foreign ownership in renewable energy projects under certain conditions, which opens the door to more international investment and expertise. Additional programmes and procurement mechanisms aim to bring more solar and other renewables into the power mix over the rest of the decade.
For commercial and industrial users, these measures make it easier to develop on-site solar, participate in net metering and work with experienced partners to secure long term savings and sustainability benefits.
Commercial Solar Projects in the Philippines
TotalEnergies ENEOS is already supporting businesses in the Philippines with on-site solar projects across multiple sectors.
Asia Brewery Inc.
On-site solar generation at beverage production facilities, lowering the cost per unit produced and supporting Asia Brewery’s broader sustainability and emissions reduction commitments.
Gaisano Capital
Rooftop solar installations across the Gaisano Capital portfolio of malls and retail properties, helping a major retail group reduce electricity costs, support ESG goals and stay competitive in a price sensitive market.
Jentec Cold Storage Inc.
Solar PV systems serving energy intensive cold storage facilities, cutting operating expenses and reducing reliance on diesel backup in operations where uninterrupted power is critical for product integrity.
SteelAsia Manufacturing Corporation
Successfully commisioned a 1.9 megawatt-peak (MWp) solar rooftop photovoltaic (PV) system in collaboration with SteelAsia Manufacturing Corporation (SteelAsia), Philippines’ leading steel firm and one of the largest rebar manufacturers globally.
These projects show how retail, cold storage, beverage and steel manufacturing companies in the Philippines are already using solar energy to stabilise costs, reduce diesel dependence and improve environmental performance with TotalEnergies ENEOS.
FAQ
Why are electricity tariffs so volatile in the Philippines?
Electricity tariffs in the Philippines are volatile because they reflect movements in fuel and wholesale prices, as well as relatively high taxes and network charges, and there are limited subsidies to shield end users from these fluctuations, so businesses often see significant changes in their monthly power bills.
How does the country's reliance on diesel generators impact business energy costs?
The country’s reliance on diesel generators raises business energy costs because diesel is expensive, subject to global oil price swings and requires ongoing fuel deliveries and maintenance, so each kilowatt hour produced from diesel is usually much costlier than grid or solar power and directly increases operating expenses.
What renewable energy targets has the Philippines set for 2030?
The Philippines has set a renewable energy target of about 50 percent of generation by 2030 and plans to add several gigawatts of new renewable capacity, including solar, to diversify its power mix, reduce dependence on imported fossil fuels and contribute to national climate commitments.
How does the expanded net metering program support solar adoption?
The expanded net metering program supports solar adoption by allowing systems of up to 1 MWp to export excess electricity to the grid and receive bill credits, which improves the economics of rooftop solar for commercial and industrial users and encourages them to make better use of their available roof space.
What types of businesses are installing solar in Indonesia today?
Businesses installing solar in the Philippines today include retailers and mall operators, cold storage and logistics companies, food and beverage and FMCG manufacturers, industrial facilities and commercial building owners that are looking to stabilise energy costs and reduce diesel dependence.
How much can commercial and industrial businesses in Indonesia save by switching to solar?
The amount that commercial and industrial businesses can save by switching to solar depends on their current tariffs, diesel usage, load profile and available space, but many are able to offset a significant share of their daytime grid and diesel consumption and reduce their average cost per kWh over the life of the system.
Do businesses in the Philippines need to invest CAPEX to install a commercial solar system?
Businesses in the Philippines do not always need to invest CAPEX, because Power Purchase Agreement models allow TotalEnergies ENEOS to finance, build and operate the solar system while the customer pays only for the solar electricity produced at an agreed tariff that can be lower than their current blended cost of grid and diesel.
How long does it usually take to implement a commercial solar project in the Philippines?
Most commercial solar projects in the Philippines can move from detailed feasibility to installation and commissioning within a few months, depending on project size, permitting, interconnection requirements and site readiness, covering engineering, procurement, construction, testing and handover.
What site conditions are important for a successful solar installation in the Philippines?
Important site conditions for a successful solar installation include structurally sound roofs or suitable ground area, good solar exposure with minimal shading, safe access for construction and maintenance and a suitable connection point to the facility’s electrical system and the local grid.
How does partnering with TotalEnergies ENEOS help reduce the risks of going solar in the Philippines?
Partnering with TotalEnergies ENEOS helps reduce the risks of going solar because we bring international engineering standards, strong health and safety practices, local project experience and a fully managed service that covers design, permitting, construction, monitoring and long term operations and maintenance, so businesses can focus on their core activities while still capturing the benefits of solar.