2018-2040 Mindanao Energy Plan

Overview and Executive Summary

"Unless there is development in Mindanao, it is hard to see how the Philippines can achieve sustained and inclusive growth."- 2017 Philippines Mindanao Jobs Report World Bank

Mindanao has been enjoying economic dynamism over the last five (5) years with its gross regional domestic product (GRDP), exports and investments consistently growing at an average of 6.0 to 7.0 percent. The forward drive towards sustaining this economic growth must always be complemented with diversified energy sources leading to a more secured supply to satisfy the foreseen increase in energy demand or consumption.

Aptly noted by the 2017 World Bank Mindanao Jobs Report, the country’s bid for a prosperous nation and reduction of its poverty level by 2040 will depend mostly on what becomes of Mindanao’s development. And the key challenge for Mindanao is to acquire an inclusive growth that will create more and better jobs, reduce poverty and propel competitiveness of the island. Adeptly supported by the 2016-2022 Philippine Development Plan, which prioritizes countryside development, and with the new Philippine President hailing from Mindanao, the country is on the right track toward achieving its economic targets for the island. To fully realize these targets, energy development will be the driving force for the island’s developmental growth. High on the energy agenda is to provide sustainable and resilient energy infrastructure, as well as acquire substantive investments for critical energy projects to address longterm energy supply requirements of the island.

To help steer the way toward the growth scenario of Mindanao, the Mindanao Development Authority (MinDa) has developed the Mindanao Development Corridors as a key spatial strategy. Such Development Framework seeks to improve infrastructure, establish connectivity, and spur development of growth clusters within the island, allowing it to achieve balanced and inclusive growth among its regions.

Energy Plan (MEP), an update of the MEP 2014-2030, to provide sustainable energy infrastructure support as a key to attaining the development strategies of the island. The MEP integrates the sectoral energy plans and programs, and specific targets covering all phases of energy development and utilization. Unlike in the previous MEP, this Plan update intends to promote a technology-neutral energy mix by providing different supply options for power generation including the corresponding estimated blended rate, energy investments, environmental impact and other energy supply security indicators to aid the Mindanawons make better energy choices. Other proposed energy infrastructures are included in the Plan, such as the possibility of hosting a liquified natural gas (LNG) receiving terminal to introduce natural gas in the island’s energy mix, and an oil refinery facility.

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