Aug 4, 2020   SOURCE: PR NewsWire

Philippines Geothermal Energy Industry 2020-2025: Trends, Developments, Policies, Regulations and Key Players

DUBLIN, Aug. 4, 2020 /PRNewswire/ -- The "Philippines Geothermal Energy Market - Growth, Trends and Forecasts (2020-2025)" report has been added to ResearchAndMarkets.com's offering.

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The Philippines geothermal energy market is expected to grow at a CAGR of more than 1.5% during the forecast period of 2020-2025.

Factors such as increasing energy demand and the need for cleaner energy are likely to drive the Philippines' geothermal energy market during the forecast period. However, low domestic investment, due to the high installation cost of the geothermal plants, is expected to restrain the Philippines geothermal energy market in the forecast period.

Market Highlights

    --  Due to the favorable geological conditions, the deep geothermal system
        segment is expected to see significant growth in the Philippines
        geothermal energy market.
    --  Philippines government has a target to phase out its coal usage by 2040
        and focus more on energy production from natural gas and renewable. This
        can create several opportunities for the Philippines geothermal energy
        market in the future.
    --  Favorable government policies and incentives on renewable energy are
        likely to drive the Philippines geothermal energy market during the
        forecast period.

Key Trends

Deep Geothermal Systems Expected to See Significant Market Growth

    --  Geothermal energy is derived from the sub-surface of the earth. Water or
        steam carries the geothermal energy to the earth's surface. Depending on
        its temperature characteristics, geothermal energy can be used for
        several purposes, such as heating, cooling, or electricity generation.
    --  As the Philippines is geographically present on the tectonically active
        Pacific-Ring of the Fire site, it makes the country a suitable location
        for any activity related to geothermal energy. Moreover, the geothermal
        energy deep inside the earth's surface does not get affected by any
        weather condition changes on the surface, which is likely going to be a
        plus point for deep and enhanced geothermal systems in the country.
    --  Counties geothermal capacity in 2015 was 1916 megawatts (MW) and
        increased to 1928 megawatts (MW) by the year 2019. Moreover, the
        government has planned to generate more than 500 gigawatt-hours (GWh)
        electricity from the geothermal energy by the end of 2030.
    --  In early 2019, Aragorn Power and Energy Corporation started the drilling
        phase for Kalinga Geothermal Project. The geothermal project is expected
        to have a capacity of 100 megawatts (MW) with a service contract of 260
        square kilometers covering barangays in Pasil, Lubuagan, and Tinglayan.
        In the same year exploration phase ended. In exploration drilling, two
        well pads were completed, including the construction of access roads,
        improvement of national road choke points, and implementation of
        geo-hazard mitigation measures.
    --  Therefore, from the above points, deep geothermal system is likely to
        see significant growth in the Philippines geothermal energy market
        during the forecast period.

Government Policies and Incentives Expected to Drive the Market

    --  The government of the Philippines is providing considerable incentives
        and subsidies on the projects related to renewable energy in the
        country. This step was taken by the country to attract more domestic
        investors. The country's renewable energy is growing at a considerable
        rate. In 2019 the total renewable installation was 6695 megawatts (MW),
        which was higher than in 2018, 6577 megawatts (MW) installation
        capacity.
    --  The Department of Energy (DOE) is the lead agency in implementing the
        provisions in both renewable energy laws and their own implementing
        rules and regulations. Programs such as the Green Energy Options program
        that provides end-users the option to choose renewable energy resources
        as their source of energy. Such a policy is expected to drive geothermal
        energy in the country because of its high potential for geothermal in
        the region.
    --  Incentives such as seven years Income Tax Holiday (ITH), ten-year
        duty-free Importation of renewable energy machinery, equipment and
        materials, 100% Tax credit on domestic capital equipment and services,
        seven-year net operating loss carry-over, and several others are
        expected to attract more investments in the country's renewable energy
        sector.
    --  Hence, due to the above points, favorable government policies and
        incentives are likely to drive the Philippines' geothermal energy market
        during the forecast period.

Competitive Landscape

The Philippines geothermal energy market is consolidated. Some of the key players in this market include Philippine Geothermal Production Company, Inc., Energy Development Corporation, National Power Corporation, Aboitiz Power Corporation, and Aragorn Power and Energy Corporation (APC Group Inc.).

Key Topics Covered

1 INTRODUCTION
1.1 Scope of the Study
1.2 Market Definition
1.3 Study Assumptions

2 EXECUTIVE SUMMARY

3 RESEARCH METHODOLOGY

4 MARKET OVERVIEW
4.1 Introduction
4.2 Philippines Geothermal Energy Installation Capacity and Forecast, in Megawatts (MW), till 2025
4.3 Recent Trends and Developments
4.4 Government Policies and Regulations
4.5 Market Dynamics
4.5.1 Drivers
4.5.2 Restraints
4.6 Supply Chain Analysis
4.7 PESTLE Analysis

5 MARKET SEGMENTATION
5.1 Technology Type
5.1.1 Ground Source Heat Pump
5.1.2 Direct Use Geothermal
5.1.3 Deep Geothermal System

6 COMPETITIVE LANDSCAPE
6.1 Mergers, Acquisitions, Collaboration and Joint Ventures
6.2 Strategies Adopted by Key Players
6.3 Company Profiles
6.3.1 Philippine Geothermal Production Company, Inc.
6.3.2 Energy Development Corporation.
6.3.3 Aboitiz Power Corporation
6.3.4 Aragorn Power and Energy Corporation (APC Group Inc.)
6.3.5 National Power Corporation
6.3.6 Pure Energy Holdings Corporation

7 MARKET OPPORTUNITIES and FUTURE TRENDS

For more information about this report visit https://www.researchandmarkets.com/r/i3nsnk

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