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Evaluating the Feed-in Tariff Policy in the Philippines

Author

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  • Joyce Marie Parales Lagac

    (Access to Sustainable Energy Programme- Clean Energy Living Laboratories, Ateneo de Manila University, Philippines, Philippines.)

  • Josef Teofisto Yap

    (Access to Sustainable Energy Programme- Clean Energy Living Laboratories, Ateneo de Manila University, Philippines, Philippines.)

Abstract

To address the problems of climate change and energy security, the Philippines enacted the Renewable Energy (RE) Act of 2008. The law mandated the Feed-In Tariff (FiT) policy, which was designed to provide a guaranteed fixed price to RE investors for 20 years to develop renewable technology. This paper aims to evaluate the effectiveness of the FiT policy in promoting renewable energy development in the Philippines by assessing its costs and benefits. Data show that while the FiT has led to an increase in RE generating capacity, the share of renewable energy in the country has been declining since 2011. The findings also suggest that the Philippines has incurred a net social cost from its implementation of the FiT.

Suggested Citation

  • Joyce Marie Parales Lagac & Josef Teofisto Yap, 2021. "Evaluating the Feed-in Tariff Policy in the Philippines," International Journal of Energy Economics and Policy, Econjournals, vol. 11(4), pages 419-425.
    • Handle: RePEc:eco:journ2:2021-04-48
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    References listed on IDEAS

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    Cited by:

    1. Steven Lloyd & Tetsuya Nakamura, 2022. "Public Perceptions of Renewable Energy in the Philippines," Sustainability, MDPI, vol. 14(16), pages 1-15, August.

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    More about this item

    Keywords

    Feed-in Tariff; Electricity; Policy Evaluation; Philippines; Renewable Energy;
    All these keywords.

    JEL classification:

    • Q40 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - General
    • Q48 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Government Policy

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