The Market Monitor Minding the Nation's Business
State-run National Transmission Corp. (TransCo) and the Independent Electricity Market Operator of the Philippines, Inc. (IEMOP) have signed a memorandum of agreement (MOA) establishing a comprehensive operational framework for the implementation of renewable energy support funds and the management of Wholesale Electricity Spot Market (WESM) proceeds.
The agreement was signed last week by TransCo President and Chief Executive Officer Joseph Omar Castillo and IEMOP President and Chief Executive Officer Robinson Descanzo at the TransCo main office in Quezon City.
In a statement issued Thursday, TransCo said the framework covers the implementation of the Feed-in Tariff Allowance (FIT-All) and the Green Energy Auction Allowance (GEA-All) funds, as well as the collection and remittance of WESM proceeds.
The state firm said the agreement defines the responsibilities of both agencies to ensure the efficient administration of the country’s renewable energy support mechanisms. It also aims to strengthen coordination and information sharing between TransCo and IEMOP.
Under the Renewable Energy Market (REM) rules, TransCo serves as the fund administrator for both the FIT-All and GEA-All. It is also tasked with providing data needed for FIT allocation and supporting the issuance and verification of Renewable Energy Certificates (RECs).
TransCo said the agreement will promote greater transparency, accuracy and regulatory compliance in implementing the country’s renewable energy programs. It added that closer institutional collaboration would help improve the administration of renewable energy funds.
The two organizations also reaffirmed their commitment to supporting the Philippines’ transition to a cleaner and more sustainable energy sector. They said the partnership would contribute to a more resilient power industry while advancing the government’s renewable energy goals.