The Philippines is gearing up for a renewable energy revolution, driven by the power of geothermal and hydropower. By 2035, the nation’s renewable energy generation is projected to soar to an impressive 69.4 terawatt-hours, boasting a robust compound annual growth rate of 13.1% from 2024 through 2035.
A recent report from GlobalData titled “Philippines Power Market Outlook to 2035, Update 2025 – Market Trends, Regulations, and Competitive Landscape” reveals that the country is witnessing a steady increase in electricity demand, fueled by economic expansion and the enhancement of digital infrastructure. “In response to this escalating need, the nation is executing a range of strategies, which include the development of infrastructure, diversification of energy sources, and the enactment of policy reforms,” notes Attaurrahman Ojindaram Saibasan, senior power analyst at GlobalData.
The Philippines has set ambitious targets, aiming for 35% of its energy to originate from renewable sources by 2030, and escalating that figure to 50% by 2040. However, fossil fuels aren’t going anywhere just yet, as thermal power is expected to retain a significant 62.7% share of the energy mix by 2035, while renewable sources will contribute 33%, and large hydro along with pumped storage will add another 4.3%.
In an impressive future-forward move, the Philippines is eyeing a 75% increase in geothermal capacity and a remarkable 160% growth in hydropower capacity. Wind power is also on the rise, with plans to expand to 2.3 gigawatts (GW), alongside a modest rise in biomass power by 0.3 GW, all by 2040. Investments are expected to flow abundantly into the energy sector, with Manila poised to secure $26.2 billion from 2025 to 2030. Solar energy alone is projected to account for 38.8% of this investment, followed by onshore wind at 19.4% and offshore wind at 17%.
As the Philippines strides confidently into a greener future, one has to wonder: will solar panels soon outshine the sun itself?
What is the projected renewable energy generation for the Philippines by 2035? The renewable energy generation in the Philippines is expected to reach 69.4 terawatt-hours by 2035.
What percentage of energy does the Philippines aim to generate from renewable sources by 2040? The country aims to achieve 50% of its energy generation from renewable sources by 2040.
What is the expected investment in the energy sector from 2025 to 2030? Manila is expected to secure $26.2 billion in energy investments during that period.
