The development of hybrid systems is one of the feasible ways to integrate renewable energy (RE) capacity into the country’s power mix.

Project developer like Global Business Power Corporation is studying such investment prospect for the future, and may pursue it as a follow-through endeavor after doing its share in helping plug capacity gap in the Visayas grid.

Hybrid systems entail the development of smaller scale plants that may integrate micro-hydro to diesel; or hydro to wind technologies, among others.

“It is observable that companies have taken much interest in hydroelectric power generation or a hybrid approach to adopting RE technologies,” Global Power president Jesus N. Alcordo noted, adding that his company “is presently exploring options for RE investments, particularly, the possibility of hydro projects.”

Visayas, which is currently considered the investment jurisdiction of Global Power, is widely-perceived as not necessarily designed for RE capacity, but hybrid systems are still seen as feasible option, primarily for off-grid areas.

Alcordo noted that some “pockets of RE projects – on which residential and small-capacity requirements can rely on – (will also) help address our power shortage concerns, especially in Visayas and in Mindanao.”

Albeit he echoed similar concerns already raised by other investors as to the technical challenges in implementing RE projects as he hoped that further research and development (R&D) initiatives may be pursued to resolve foreseen investment drawbacks.

“In terms of viability, the renewable energy sector presently faces some technical challenges. We hope further research and development will help address these,” he stressed.

Alcordo noted that the integration of RE capacity is necessary to provide some balance in the country’s power supply mix – setting in a combination that will put environmental protection into the equation.

“It is our belief that the Philippines needs to find a balance in using traditional sources of power which provide much of our baseload power across the country,” he stressed. Global Power’s current capacities in Cebu and Iloilo cities are generally coal-based.

These have been the companies’ answer to government invitation to help address supply shortages that have proved punishing for consumers in the Visayas.

Nevertheless, with the propounded policy on Renewable Portfolio Standards (RPS), there would come a time when power project developers in the country may need to put up a certain percentage of RE in their investment portfolio to comply with the law’s mandate.