THE enactment into law of the Renewable Energy (RE) bill will open up more doors of investment for the Philippines, an official of the International Finance Corporation (IFC) said.

"Renewable energy does well if the alternative is more expensive so it would be interesting to see now because prices have gone done but for us we would want to support RE investors," said Jesse Ang, IFC country representative.

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According to Ang, renewable energy projects are seen as the most viable projects now since they resolve the problem on global warming.

"Renewable energy is solar, wind, geothermal, ocean, and hopefully we see more development there," he said.

Last month, IFC signed a P4-billion loan agreement with the Energy Development Corporation (EDC), the largest emerging market geothermal producer, to help the company with its renewable-energy initiatives and to improve efficiency in the geothermal energy sector in the Philippines and the wider region.

"As a supporter of environmentally sustainable companies, IFC is pleased to work once again with EDC in its efforts to mitigate climate change, and our financing of renewable energy producers like EDC is a demonstration of this commitment," Ang further said.

Energy Secretary Angelo Reyes, in a separate interview, said they are expecting the RE bill to be signed this month.

"The Office of the President is scheduling it and we hope it will be signed soon," Reyes said.

The 15-year loan of P4.1 billion will enable EDC to acquire more geothermal assets. The company is the dominant geothermal steam and power producer in the Philippines, with 60 percent of the country's installed geothermal capacity.

"This loan from IFC is a testament to EDC's long-term vision of being not only the largest renewable energy company in the country but also to share its cutting-edge geothermal technology with the region and the world," said EDC president Paul Aquino.

"Despite the current financial crisis, IFC has proven to be our reliable partner in the development of this vital indigenous resource," Aquino added.

For 40 years, IFC has been investing in the Philippines and established an office in Manila in 1977.

As of June 2008, the country ranked second among IFC's exposures in the East Asia and Pacific Region, with about US$898 million in 32 projects. (MSN/Sunnex)

For more Philippine news, visit Sun.Star Pangasinan.

(December 3, 2008 issue)
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