By U.S. News Agency / Asian

The first solar facility to be installed on rooftop is now open at the First Philippine Industrial Park in Tanauan, Batangas.

It is a project of the First Philec Solar Corporation, a member of the Lopez Group of Companies.

The Philippine Solar Power Association (PSPA) called the opening of the facility a significant proof of the viability of solar energy in the country.

It demonstrates how solar electricity can be deployed in months, shows the adaptability of solar plants to grid conditions, and how solar energy can be used for industrial and residential purposes.

The First Philec solar facility has a 180KW grid capacity. Its construction started in September this year and was inaugurated two months after.

It uses photovoltaics modules provided by SUNPOWER Phils and is also capable of testing the effectiveness and resilience of the modules.

Local and foreign solar manufacturers can test panels in the Tanauan plant for optimal output in a tropical environment.

PSPA expects more interest on solar rooftop installation in the months to come.

According to PSPA President Tetchi Cruz-Capellan, “with First Philec Solar leading the way, foreign investors with huge renewable energy portfolio will start looking at the Philippines again as a possible investment destination.”

Cagayan Electric Power and Light Co., Inc. (Cepalco) already has a 1MW ground-mounted solar plant in Cagayan de Oro. It is looking to expand their existing capacity to 20MW in two years.

Solar power is considered as a key factor in overcoming the power crisis in Mindanao.

Recent studies by the Manila Observatory (MO) have indicated that Mindanao will be drier in the years to come lessening the effectiveness of RE sources like Hydropower, which supplies 70 percent of the power to the island.

The Congressional Committee of Science and Technology (COMSTE) urged government to harness solar energy, take advantage of our national policy as enshrined in the Renewable Energy Act, and pitch for significant foreign investments on the huge potential of solar power in the Philippines.

“We should be able to forge collaboration with the private sector and develop more energy projects that can take advantage of the Renewable Energy Act,” stated COMSTE chair Senator Edgardo Angara.

Angara added “Mindanao has the highest percentage of un-electrified barangays in the country, if we are able to apply solar energy effectively, the potential upside is enormous.”

Dr. Shigero Niki of Japan’s National Institute of Advanced Industrial Science and Technology, who heads the Solar Research and Testing Laboratory of Japan, considers the solar facility in Batangas as a major development and expressed interest in sending PV for testing in the Philippines, noting that a testing facility here would be able to identify the proper engineering and technology for PV arrays and components which would be ideal for tropical conditions.

PSPA President Tetchi Cruz-Capellan said “the Philippines enjoys a geographic advantage insofar as solar energy is concerned. Because we are located in the world’s sunbelt, our irradiation index is registering 1600, double the irradiation of Germany.”

“We have the national resource and policy to follow the path of Germany which now owns half of Europe’s solar installation with a total of 8.9GW installed capacity in 2008,” she said.

The Renewable Energy Act of 2008 exempts renewable energy sources from value-added tax (VAT), grants a seven-year income tax holiday, and prioritizes the purchase, grid connection and transmission of electricity generated by companies from renewable energy sources.

It also provides for a 20-year fixed payment for clean and renewable energy.

The feed-in tariff is the major driving force behind the dramatic growth of renewable energy in 45 countries, including China and India.

In the Philippines, it is the only regulatory measure yet to be issued by the national government.

Experts explained the benefit of the feed-in tariff and argues that with the deployment of more renewable energy, countries can expect enormous savings on imported fuel and significant reduction on the wholesale electricity market.

PSPA believes solar energy can complement coal-fired power plants in addressing the power crisis in Luzon, Visayas and Mindanao.

The size and speed in installation allows broad range of power producers, from residential to utility-scale producers, to participate in the national effort to mitigate the possible shortage of power.