Philippines launches first offshore wind auction with gigawatts up for grabs

The Philippines prioritises fixed-bottom offshore wind farms in first auction although it says ‘door remains open’ for floating

Energy secretary Raphael P.M. Lotilla said the country is prioritising fixed-bottom wind farms as the technology is "ready to deliver."
Energy secretary Raphael P.M. Lotilla said the country is prioritising fixed-bottom wind farms as the technology is "ready to deliver."Photo: Department of Economy, Planning, and Development

The Philippines has launched its first ever offshore wind auction putting gigawatts of capacity on the block in what is seen as one of Asia’s most promising new markets for the sector.

The Department of Energy (DoE) today launched its Fifth Green Energy Auction (GEA-5), which will focus exclusively on fixed-bottom offshore wind – offering 3.3GW of capacity with a delivery commencement period from 2028 to 2030.

“By prioritising fixed-bottom offshore wind for GEA-5, we are investing in a technology that is ready to deliver,” said energy secretary Raphael PM Lotilla. “This allows us to set a strong and credible foundation for the country’s offshore wind sector, one that can deliver first power by 2028.”

A government announcement said that while the DoE acknowledges the promise of floating wind, it remains at an early stage of development.

“We are still keeping the door open for floating offshore wind technology,” said energy undersecretary Rowena Cristina L. Guevara.

“As global experience grows and the technology matures, the DoE will reassess its inclusion in future auction rounds. For now, our focus is to build momentum with fixed-bottom projects that can succeed under current technical, regulatory, and infrastructure conditions.”

The government had last year cleared three projects with a combined capacity of 1.65GW to compete in its inaugural offshore wind auction.

Reacting to the news on LinkedIn, Bruce Valpy, managing director at BVG Associates, said that grid availability “remains a challenge” for the Philippines.

Other challenges will include “deciding on a bid price, recognising that project developers are seeking power contracts prior to permitting and (in many cases), site surveys, leading to significant uncertainty.”

Patrick Architta, APAC president for wind and solar at Ramboll, noted in his own post that “key issues” for the Philippines offshore wind market are “bankability, tariff structures, and development timelines still need to be addressed, making this auction a critical test for investor confidence.”

The Philippines could by 2040 get one fifth of its electricity from a floating-dominated offshore wind fleet that would underpin the Southeast Asian nation’s energy independence, according to a World Bank roadmap published in 2022.
(Copyright)
Published 11 June 2025, 14:11Updated 11 June 2025, 14:11
PhilippinesAsia-PacificOffshoreMarketswind