Advocacy group Foundation for Economic Freedom on Wednesday welcomed the Marcos administration’s move to open the renewable energy sector to 100-percent foreign investments.
“We foresee a boom in foreign investments in RE that will improve the country’s energy security and climate adaptation measures,” FEF said in a statement.
It said the Department of Justice’s opinion that renewable energy coming from the sun, wind and oceans are not depletable “natural resources”—subject to the Constitutional limitation on foreign ownership—”is correct, timely and judicious.”
FEF said it expects the Department of Energy to immediately issue revised implementing rules and regulations of Republic Act No. 9513 or the Renewable Energy Act to clarify the rules on foreign investments in RE and usher in an influx of investments in RE.
“Renewable energy can strongly contribute to the country’s energy mix, which includes not only non-RE sources like coal, gas and diesel, but also hydro, geothermal and possibly nuclear,” FEF said.
“With the RE sector open to foreign investments, foreign investors can also participate in the country’s micro-grid development program through solar and wind projects,” it said.
The DOE issued the draft circular prescribing the amendments to Section 19 of Department Circular No. DC2009-05-0008 entitled rules and regulations implementing RA 9513.
The agency is set to hold public consultations next week.
FEF is a public advocacy organization dedicated to advancing the cause of economic and political liberty, good governance, secure and well-defined property rights, market-oriented reforms and consumer welfare. Its members include top economists, former and present Cabinet secretaries and undersecretaries, leading figures in the academe, respected columnists and opinion makers and prominent members of the business and finance community.