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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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GM, EVgo, and Pilot hit 200+ charging sites across 40 states

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GM, EVgo, and Pilot hit 200+ charging sites across 40 states

General Motors (GM), EVgo, and Pilot Co. just hit a milestone: their joint EV charging network can now be found at more than 200 locations across nearly 40 states. They’ve rolled out almost 850 new fast-charging stalls in just over two years.

Less than a year ago, it spanned 25 states; now it covers almost 40. Some of the newest additions include Colorado, South Carolina, Louisiana, Mississippi, North Dakota, South Dakota, and Wyoming, with big growth across Texas, Missouri, and Florida, including in rural counties, where EV chargers are still scarce.

The chargers are sited at Pilot and Flying J locations, which means drivers can access free Wi-Fi, restaurants, groceries, and convenience items while they charge. The EVgo stalls can deliver up to 350 kW, cutting charging times and quickly getting people back on the road. Many sites include overhead canopies for weather protection and pull-through stalls for trucks, trailers, and vans. Plug and Charge is also available for compatible EVs.

EVgo CEO Badar Khan said the goal is to make highway charging as flexible as the American road trip itself: “Our EVgo eXtend network, built in collaboration with Pilot and GM, is delivering reliable charging to communities large and small – ensuring freedom of fueling choice for every driver.”

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GM is adding more electric models across Chevrolet, GMC, and Cadillac, and it wants its customers to be able to take them wherever they want to go. Wade Sheffer, VP of GM Energy, said, “Through our collaboration with Pilot and EVgo, we’re committed to helping ensure that charging access doesn’t get in the way of your EV journey.”

The three companies announced their collaboration in 2022, with a goal of building up to 2,000 fast-charging stalls at up to 500 Pilot and Flying J locations across the US. They’re nearly halfway there: By the end of 2025, they expect to hit 1,000 stalls across 40 states.


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LiveWire S4 Honcho? New trademark hints at bigger electric motorcycle

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LiveWire S4 Honcho? New trademark hints at bigger electric motorcycle

Harley-Davidson’s electric spin-off brand LiveWire may be gearing up to launch a new model under the name “S4 Honcho,” according to a recent trademark filing with the United States Patent and Trademark Office (USPTO).

The trademark was filed for use on “electric motorcycles and structural parts therefor.” That’s about as vague as it gets, but it’s enough to get the speculation wheels turning, especially since the name “Honcho” feels a little more wild west than LiveWire’s current city-slicker lineup.

LiveWire currently offers two motorcycle platforms: the flagship LiveWire One, and the more affordable S2 line (which just went on supersale), built on a more adaptable platform that currently serves the S2 Del Mar, S2 Mulholland, and S2 Alpinista. The company has already previewed two more models in the works, likely to become the new S3 platform, and so this “S4 Honcho” filing could be our first hint at an entirely new platform. Based on LiveWire’s naming system, an S4 designation would point to a larger, more premium electric motorcycle, potentially even one with touring or adventure capabilities. It also fits with previous indications from LiveWire that an S4 flagship platform could follow in the future.

That fits with the name “Honcho,” which carries an aggressive, take-the-lead kind of vibe. Could this be LiveWire’s entry into the ADV segment? Or perhaps a full-size electric cruiser to win over traditional Harley riders who haven’t yet gone electric? Is it meant to compete with heavier-weight gas motorcycles? Or could it be something else entirely? Such new directions could help expand LiveWire’s currently limited lineup into new categories, especially as more brands enter the commuter and urban e-moto space. But at the same time, LiveWire has struggled to move its already full-sized electric motorcycles, leading many to speculate that its best chance of short-term success could lie in the upcoming smaller format and more affordable S3 line.

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Of course, it’s worth noting that companies often file trademarks for names that never see the light of day, or that take many years to eventually work their way to production. Filing for trademarks early is a common industry tactic to secure intellectual property, even if a product isn’t finalized yet – or might not be built at all. Still, the fact that LiveWire has applied for the S4 Honcho trademark suggests this is more than a back-of-the-napkin idea.

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The first onshore wave power pilot station in the US opens today in LA

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The first onshore wave power pilot station in the US opens today in LA

Eco Wave Power held a grand opening for the first onshore wave power station in the US today, at the Port of Los Angeles. The station is just a pilot so far, but Eco Wave Power has big aspirations.

The station is on the site of AltaSea, an “ocean technology hub” in a warehouse at the Port of LA.

The idea behind wave power is to use motion of waves in the ocean to generate electricity. Waves are relatively constant, and hold more power than wind, given that water is so much denser than air. They also add another dimension to renewable power generation, which can help reduce intermittency.

However, wave power has been considered for centuries and has been tried several times, with little evidence yet of its scalability. The industry, such as it is, is definitely still in the development stage. So this pilot program has a big hill to climb if it’s going to succeed as a demonstration.

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Eco Wave Power’s project is rather humble for now, consisting of seven blue painted buoys, which the company calls “floaters,” approximately in the shape of boats. The floaters are designed to lift and drop with the waves, driving a hydraulic ram to create pressure in a bank of storage tanks in a nearby shipping container (the “conversion unit”), which is then used to spin a turbine generator.

The project will run for two years, though it’s still primarily for demonstration and research purposes. Ocean environments are caustic and chaotic, so there are a lot of problems that could come up. But Eco Wave Power has tried to mitigate one of the potential problems by using biodegradeable hydraulic fluid, just in case there’s any sort of leak.

There could be potential terawatts of power generation available from wave power nationwide, but that would require deployment over much of the US coastline. Eco Wave Power says it could power 60,000 homes with a larger deployment, taking up around 8 miles of breakwater structures built around the Port of LA/Long Beach complex. The system is designed to be modular, so that more floaters and shipping containers could be added depending on the available area.

Alternately, the power could be used to help fuel the port itself. Ports tend to be dirty areas, and Long Beach/LA is no difference. Air quality in the area is quite poor, which is why the port is rushing to clean up pollution. Wave power could provide some onsite power for port operations, and perhaps help to run electrified port equipment.

And if the project were big enough to export power beyond the port, the benefit of being in a port is that there are always nearby electrical substations, so it’s not hard to find a grid connection.

But as of now, we’ve got 7 floaters to start.

Currently, the floaters are placed inside the breakwater, in the channel that is protected from ocean waves. Therefore, they’re not going to generate nearly as much power as if they were placed on the outside of the breakwater itself, where waves are larger, more consistent, and much more powerful. But this is a test project, after all.

At the opening event, minutes after the floaters were dropped into the water, we saw them turn the system on and generate… 1.6kW worth of power. It’s a pretty calm day, after all, and the system hadn’t really had time to build up any pressure.

Eco Wave Power says that a setup of this size could have a potential output of 100kW, though we did get some conflicting numbers on that, and we suspect the numbers change drastically based on positioning and water conditions. It has one grid-connected power station in Israel which has been operational for a few months now, but we asked how much energy it has produced, and the company said that it had not released that information yet.

The new LA station is actually the first onshore wave power station in the US, though there has previously been an offshore wave power pilot in Hawaii. There are benefits and downsides to each method, but onshore is cheaper to install and maintain, if you can get access to the shoreline needed – and port breakwaters are a good opportunity for that.

Eco Wave Power says it also has projects in Taiwan, India and Portugal coming soon. It formerly operated a pilot program in Gibraltar. Its projects so far have been in relatively protected areas (Israel and Gibraltar are both on the Mediterranean, and LA is inside the port), but it has future projects coming that will be exposed to the ocean, like in Taiwan and Portugal, which should offer a whole new set of challenges – and unlock much more power, if the company is able to harness the turbulence of the Pacific.


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