Despite rising concerns over electricity rates due to the Middle East conflict, coal is unlikely to make a significant comeback in the Philippines, according to Eric Francia, president and CEO of ACEN Corp.
Francia said that lifting the moratorium on new coal plants, imposed in 2020, would face major challenges, including financing difficulties and public opposition. If the government proceeds, he noted that the country's long-term energy plan—which assumes coal capacity remains flat—would need revision.
"We can't depend on coal saving the day in terms of energy security," Francia told reporters after the company's annual stockholders' meeting. "What's driving the growth, serving the growth, is really gas and renewables."
He urged the government to "double down" on expanding renewable energy and deploying battery storage systems. ACEN, a major clean energy producer, has over 7 gigawatts of renewable capacity globally.
The coal moratorium was originally implemented to cut carbon emissions and support the shift to clean energy. However, amid concerns over fuel prices, Socioeconomic Planning Secretary Arsenio Balisacan recently suggested that lifting the ban might be timely.
Francia countered that coal is not the answer, emphasizing that the path forward lies in gas and renewables.