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Courtesy of RMI.
By New Energy Nexus Philippines

The Philippines is one of the most vulnerable countries in the world to climate change. Sea level rise is three to four times faster in this island nation than the global average, and it gets hit with an average of 20 typhoons a year. Energy equity is also a major concern as 10 percent of the Philippine population still lives in rural areas without access to electricity, and those that have electricity deal with frequent outages.

Fortunately, a small but mighty group of startups is helping the Philippines forge a clean energy future. According to research by New Energy Nexus (NEN), a founding partner of Third Derivative, and RMI, 15 young companies are helping transform the climate crisis — and close the region’s energy access gap — with renewable energy and clean-tech solutions.

The good news is that these startups are not acting alone. Public and private leaders across the Philippines are working to create a cleaner, more accessible and reliable energy system. Already policymakers have announced a moratorium on new coal projects and are aiming for 35 percent clean energy by 2030.

But it’s going to take far more innovation and investment to meet that target. Coal-fired power capacity has increased since 2008, and now contributes to 57 percent of the country’s energy mix. And the nation’s renewables currently account for less than a quarter of supply, with variable renewables like wind and solar significantly less prevalent (2 percent) than hydropower and geothermal.

All this signifies major ecosystem opportunities — along with major barriers — for energy innovation.

Ilocos, Philippines. Photo by Brett Andrei Martin, via Unsplash

5 Regional Needs & Opportunities

Following, we explore five takeaways from NEN’s Philippines Energy Ecosystem Map report, including key traits of today’s startup scene; funding, policy and institutional drivers; and the general landscape of support.

  1. Startups and other early indicators reveal a clean tech ecosystem with room to grow

The Philippines is home to an array of clean energy game-changers, including startups, research labs, universities, media, and professional service providers.

Our research identified 15 promising new energy startups, including:

  • Exora, a platform that connects retail electricity suppliers with contestable customers to make energy affordable and accessible for all Filipinos
  • Smartermeter, an energy management system for households and rental business units to create a community of more informed consumers
  • Circular Solutions, a waste management system to help residential communities with clean cooking fuel from biodegradable waste
  • Light of Hope, an impact startup that provides solar generator systems for low-income families

These and other efforts are backed by a supportive ecosystem including 200 energy professional service providers and 16 media outlets that promote energy-related news. And they’re surrounded by other innovators, with 240 active patents related to energy, clean energy, renewable energy, and batteries, along with 141 new energy research projects spanning 11 research laboratories and eight universities.

Bottom line: The Philippine clean energy ecosystem is still building to a critical mass. We see room for even more startup players, considering the larger setting of innovation.

  1. Funding is on the rise, though not yet up to market need 

Overall, we’re seeing outsized market demand for cost-effective clean energy solutions. Off-grid solutions like standalone solar and minigrids will be key to closing the energy gap for the 24,556 un-electrified communities in the Philippines.

But this can only happen with additional funding.

Currently, the country’s funding landscape encompasses 27 bank loans for energy startups and projects, six grant providers, 11 venture capital firms, five crowdfunding platforms, two insurance programs, six angel and investor networks, five green bonds, and 6,943 micro-cooperatives.

While these are promising numbers, current funding levels won’t cut it. Our analysis shows that with an investment of $354 million, 1.25 million households could tap into minigrid-generated electricity by 2030. And an investment of $897 million would give an additional 2.5 million households standalone solar by then.

Bottom line: There is opportunity to grow in terms of market interest and need, but it’s going to take more substantial investment.

  1. Philippine policy is trending in favor of clean energy

Supportive policy and programs are always important for energy startups. Fortunately, Filipino policymakers have been incorporating clean energy provisions into the nation’s plans for more than a decade.

A few notable examples include:

  • The Electric Power Industry Reform Act (EPIRA), which privatized the power sector to support competitive pricing, more reliable electricity, and better-quality power
  • The Renewable Energy Act of 2008, which includes a renewable portfolio standard, feed-in-tariff system, green energy option program, and duty-free importation of renewable energy materials
  • The Energy Efficiency and Conservation Act (EECA) of 2019, which calls for an interagency energy efficiency and conservation committee as well as energy efficiency certifications, standards, and labeling
  • The Energy Virtual One-Stop Shop, which aims to reduce red tape by streamlining permitting process of power generation, transmission, and distribution

Bottom line: Policymakers have shown clear support for opening pathways to clean, affordable energy, an encouraging sign for energy startups.

  1. Institutional inefficiencies pose a challenge

According to the International Trade Administration, the Philippines needs about 43 GW of additional capacity by 2040, and is “clearly behind schedule in developing solutions.”

Utilities and electricity companies are central to the effort, including 198 electric generation companies, 22 private distribution utilities, 6 LGU-owned utilities, 120 electric cooperatives, 67 retail electricity suppliers, 2,089 contestable consumers or end-users, and 396 transport cooperatives.

But major inefficiencies are slowing progress in the energy supply sub-sector. Utility and electricity company leaders grapple with a complex and slow approvals process, non-optimal market mechanisms, and institutional capacity issues.

Bottom line: Don’t expect smooth sailing in terms of institutional buy-in and adoption of even the most proven and cost-effective clean energy solutions.

  1. Clean energy networking opportunities abound

A spirit of innovation is evident not just in the startups and research organizations themselves, but also in groups and events seeking to elevate communication and collaboration in the Philippine clean energy world.

By our count, there are 18 inspirational events, 15 capacity building initiatives, two startup validation programs, 22 fab labs, 15 networking events, 49 incubators and accelerators, two pitch and demo events, and 25 evangelists.

For example, RebootPH and Our Energy 2030 are youth-led coalitions advocating for awareness and capacity building on renewable energy.

Bottom line: Third-party organizations are helping startups and other clean energy innovators get the word out about breakthrough work.

Plotting Future Energy Innovation in the Philippines

Looking ahead, new market entrants and startups in the Philippines face the typical hurdles you’d expect anywhere: It takes a lot of time, and a lot of capital, to bring a promising idea from seed to market.

In the Philippines in particular, startups face major institutional barriers and regulatory challenges. Still, opportunities exist and are growing thanks to market need, increasing research and development efforts, and a supportive policy environment.

New Energy Nexus calls on accelerator programs, policymakers, and funding entities alike to step up efforts to support energy startups in the Philippines, and together help achieve a 100 percent clean energy economy for 100 percent of the population.

Are you a climate technology startup? Learn how Third Derivative, a global accelerator, can help you drive success and speed to market for your climate innovation, and apply to join our next climate tech accelerator cohort.

Featured photo by Hitoshi Namura on Unsplash

 

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Xpeng launches G7, a new Tesla Model Y competitor for just $27,000

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Xpeng launches G7, a new Tesla Model Y competitor for just ,000

Xpeng has officially launched its new G7 electric SUV in China, entering the fiercely competitive electric crossover market with a starting price of just 195,800 yuan ($27,325 USD). The G7 is positioned squarely to compete with the Tesla Model Y and the newly unveiled Xiaomi YU7.

It is priced significantly more aggressively than the YU7, which shook up the industry just last week.

The G7, Xpeng’s seventh model, offers an attractive balance of performance, technology, and value, with an emphasis on the latter.

Like Lei Jun with the launch of the YU7 last week, He Xiaopeng was not shy about positioning the G7 against the best-selling Tesla Model Y.

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He compared the specs and pricing with the leading premium crossover. Like Jun, he brought up Tesla’s comparison challenge against the new Model Y:

The G7 is powered by a single rear-wheel-drive electric motor producing 292 horsepower (218 kW), it achieves a 0-100 km/h acceleration in 6.5 seconds. Impressively, the G7 can cover between 602 km and 702 km (374-436 miles) based on China’s generous CLTC standard, depending on the battery option and wheel size.

Two battery options are available, both using lithium iron phosphate (LFP) technology: a 68.5 kWh and a larger 80.8 kWh pack. With Xpeng’s advanced 5C charging technology, drivers can recharge up to 436 km (271 miles) of range in just 10 minutes.

Additionally, the G7 supports Vehicle-to-Load (V2L) functionality, providing up to 6 kW of external power, like the YU7 announced last week.

On the design front, the Xpeng G7 adopts the company’s second-generation “X Face” styling, featuring sleek running lights connected by a continuous LED strip, a closed front end for aerodynamic efficiency, and a distinctive “Star Ring” rear taillight design. Xpeng emphasizes the vehicle’s aerodynamics with a drag coefficient of just 0.238 Cd, slightly higher than the Model Y’s 0.230 Cd.

Inside, the G7 embraces minimalism, replacing conventional buttons with a large 15.6-inch central touchscreen powered by Qualcomm’s Snapdragon 8295 chipset. A standout interior feature is the expansive 87-inch augmented reality head-up display (AR-HUD), developed in collaboration with Huawei, that significantly enhances navigation and driving assistance.

Practicality is emphasized with ample cargo space: an 819-liter trunk that expands to 2,277 liters with the seats folded, plus an additional 120-liter compartment beneath the trunk floor and a modest 42-liter front trunk (frunk).

Xpeng is touting an adaptive AI-driven suspension system that actively adjusts to road conditions within milliseconds, allegedly surpassing comfort benchmarks set by the Mercedes-Benz GLE and Tesla Model Y. Cabin quietness also ranks high on Xpeng’s list of priorities.

Luxury and convenience features include dual 50W wireless phone chargers, a 20-speaker premium audio system, and a panoramic sunroof. Passengers in the second row enjoy premium touches like an 8-inch control screen, individual climate settings, a foldable table, and wireless charging.

The top-tier “Ultra” variant employs two proprietary Turing AI chips capable of delivering a massive 2,250 TOPS of computing power, enabling advanced Level 3 autonomous driving capabilities set to become active via an OTA update by December 2025, pending regulatory approval. Standard versions use dual Nvidia Orin-X chips with 508 TOPS.

The Xpeng G7 starts at 195,800 yuan ($27,325 USD) for the base “Max” variant with 602 km of range, stepping up to 205,800 yuan ($28,720 USD) for the longer-range “Max” (702 km) and topping out at 225,800 yuan ($31,510 USD) for the high-end “Ultra” trim.

Customers ordering the G7 Ultra before July 31 will receive complimentary upgrades including Nappa leather and power door handles.

G7 quickly demonstrated its popularity by securing 10,000 pre-orders in just 46 minutes.

Electrek’s Take

It’s not 200,000 orders within 3 minutes like the YU7, but Xpeng doesn’t have the brand power that Xiaomi has.

Nonetheless, it is pretty impressive.

The price is insane. The specs are competitive with the Model Y, which starts at 263,500 yuan and ranges up to 313,500 yuan ($36,770 – 43,750 USD), but the price starts at about $10,000 USD less.

Between this, the YU7 last week, and a few more models launching this month, the premium crossover segment is about to get crowded in China.

I think the Model Y is in serious trouble in China. We are about to see how it fares with real competition.

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Tesla Optimus is in shambles as head of program exits, production delayed

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Tesla Optimus is in shambles as head of program exits, production delayed

Tesla’s humanoid robot program, Optimus, is reportedly in disarray amid the departure of the senior vice president in charge, Milan Kovac.

Production has been delayed due to a new redesign, as the robot has yet to prove useful in Tesla’s factories.

Elon Musk has previously set a goal for Tesla to produce 5,000 to 10,000 Optimus humanoid robots this year.

The goal has reportedly been delayed as sources within the Chinese supply chain report Tesla informed suppliers of a 2-month halt on orders.

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AI Invest first reported the news, and The Information later corroborated the report:

Two supplier sources said Tesla has not explicitly stated it will reduce robot parts orders but will wait until the Optimus design adjustments are completed before finalizing a new mass production plan and resuming procurement. The adjustments may take two months. Musk recently stated on social media that the new version of Optimus has seen significant improvements over the second-generation Optimus unveiled in 2023 and now includes voice interaction powered by Grok.

The news came after we learned that Milan Kovac, the head of the Optimus program left Tesla last month, just months after being promoted to senior vice-president by Musk.

The new reports confirm that Ashok Elluswamy, who was elevated to senior vice-president in charge of self-driving at the same time as Kovac, is taking over responsabilities.

AI Invest reported some concerns from Tesla about Optimus that reportedly trickled down to Chinese suppliers:

According to Tesla’s feedback to suppliers, Optimus still faces hardware challenges, including overheating in some joint motors, low load capacity in dexterous hands, short lifespan of transmission components, and limited battery life. Tesla is currently evaluating samples from multiple dexterous hand suppliers, testing at least three different technical approaches. On the software side, Tesla may use more synthetic data to train the robot model, improving Optimus’ autonomous operation capabilities and success rate in performing complex tasks.

According to the report, Tesla had secured parts to build over 1,000 Optimus robots earlier this year and built quite a few, but they are currently only used “for moving batteries in Tesla’s battery workshops, with efficiency less than half that of human workers.”

The redesign is expected to delay plans by at least two months and could push many of Tesla’s goals.

However, Tesla is expected to still move ahead with the prgroam and it is likely to unveil the new generation of Optimus robots at its shareholders meeting this year.

Electrek’s Take

As I previously stated, I’m actually quite hyped for humanoid robots, but I don’t think they will be nearly as big as Musk claims and I simply don’t see Tesla having a significant advantage over the competition, which is significant.

Companies like Unitree are already selling robots, Figure has made impressive progress and poached from Tesla, then there’s Boston Dynamics and dozens more.

Kovac leaving just as Tesla is supposed to ramp-up production to 50,000 units next and make this a “multi-trillion-dollar” product is a red flag.The engineer would have certainly received sweet stock option packages when he was elevated to SVP and would have likely made a fortune if he would have been able to deliver on Musk’s goals.

But I think the real product at Tesla now is the stock – hence why they reportedly plan to unveil the next generation of the robot at the shareholders meeting and have it do another shady demostration, like it did at the ‘We, Robot’ event where the robots were remotely controlled by humans.

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Honda’s new electric two-wheeler doubles the power and range

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Honda's new electric two-wheeler doubles the power and range

Honda is stepping up its electric scooter game with the launch of its second electric model for Europe, the CUV e:. Following Honda’s previous debut of the EM1 e:, a compact, city-focused moped, the CUV e: brings more power, more range, and more real-world usability to riders who want a practical electric alternative to a 125cc scooter.

Now finally ready for the spotlight, the CUV e: is built on an underbone-style frame and powered by a 6 kW side-mounted electric motor producing 22 Nm of torque. That puts it squarely in the 125cc-equivalent category, allowing it to reach a top speed of 83 km/h (52 mph).

It’s not built for the highway, but rather for urban and suburban riders who want to achieve speeds seen on the fastest of urban roads and keep up with just about any traffic in the city. For that role, it looks like a solid performer – more than capable of keeping up with city traffic or carrying a second passenger.

One of the most useful features, especially for urban residents and apartment dwellers, is its use of Honda’s Mobile Power Pack e: swappable battery system. The scooter carries two of these Gogoro-style removable battery units, each rated at 50 V and 1.3 kWh. Combined, they offer over 70 km (43 miles) of WMTC-rated range. Compared to the Honda EM1 e:’s single Mobile Power Pack battery, the dual batteries of the CUV e: give Honda the chance to pull twice as much power or offer twice the range.

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Honda’s swappable battery standard is designed for portability and long life, with each pack weighing around 10 kg (22 lb) and rated for 2,500 full charge cycles. Honda has been slowly building a swappable battery ecosystem, and the CUV e: is clearly meant to be part of that larger infrastructure play.

Charging of the batteries is designed to be done easily off-board, either at home or at a battery station (where available). A full charge from 0 to 100% takes about six hours per pack, but Honda says 75% can be reached in just three hours. While fast charging would be nice, the swappable format means riders can keep an extra pair charged and ready if necessary, eliminating downtime altogether.

Honda didn’t skimp on features, either. The CUV e: offers three ride modes (Sport, Standard, and Econ), plus Reverse Assist for easier maneuvering. It includes a fairly spacious flat floorboard, under-seat storage, LED lighting, a USB-C port, and keyless ignition. Buyers can choose between a five-inch color TFT display or an upgraded seven-inch “RoadSync Duo” screen, which supports turn-by-turn navigation, music control, Bluetooth phone integration, and EV-specific ride data.

Positioned as a mid-range electric scooter, the CUV e: fills the space between low-speed mopeds and larger, premium e-motorcycles. It’s a key piece in Honda’s broader electrification strategy, which aims to introduce 10 or more electric motorcycle models globally by 2025 and reach full carbon neutrality in its motorcycle division by the 2040s.

With anticipated pricing starting at around €4,000 (approximately US $4,300), the CUV e: is expected to roll out in Europe first, with other global markets potentially following. Its combination of practical range, moderate speed, high build quality, and swappable batteries could make it an appealing option in cities where electric two-wheelers are on the rise.

If the EM1 e: was Honda dipping a toe into the electric waters, the CUV e: feels like a confident step forward. It’s not flashy, but it’s functional, well-designed, and undeniably useful, which is exactly the kind of machine that could help electric scooters go mainstream.

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