AMALA Conducts Workshop on De-Risking Geothermal in the Philippines

An AMALA team visited the Philippines and conducted a workshop on April 24, 2024 to share the proposed design of a Geothermal Resource De-risking Facility(GRDF). The GRDF is designed to implement a cost-shared exploration drilling scheme and facilitate financing for lower risks assets after resource are confirmed.  The initiative is spearheaded by the Department of Energy (DOE) on behalf of the Government of the Philippines (GoP) and supported by the Asian Development Bank (ADB). The workshop was organized by DOE and ADB, and was attended by all major geothermal developers in the country, representatives from National Geothermal Association of the Philippines (NGAP) and financial institutions. The workshop was conducted in-person by Migara Jayawardena (Managing Director, AMALA), Paolo Bona (Geothermal Resource Specialist AMALA), and Moira Tiongson (Analyst, AMALA) with virtual participation by Roger Henneberger (Earth Science Manager, GeothermEx), Jamil Sopher, Director for Finance, AMALA), Noureddine Berrah (Director for Energy, AMALA), and Ambalika Khanna (Financial Analyst, AMALA).

The GRDF was the culmination of a comprehensive analysis of the geothermal industry conducted by AMALA through which the cost and risks of the new wave of proposed sector developments were evaluated, the major barriers that have practically stalled development in the industry over the past two decades were identified, and customized solutions for addressing major risks and managing costs were proposed based on international experience and local knowledge.  The result was a Geothermal De-Risking Roadmap for the Philippines for expanding the industry in-line with the country’s sustainable energy development goals. A key element of the Roadmap is to address the high resource risks inherent in a new greenfield projects that are proposed for development. 

Participants attending the workshop expressed their support for the initiative and encouraged the DOE to expedite establishing the GRDF. The DOE, with support from ADB, now plans to develop broader consensus for the initiative within the GoP, and hopes to establish the GRDF thereafter. If successfully implemented, it could lead to a renaissance of geothermal development in the Philippines. The workshop presentation can be accessed by clicking here.