Project Rationale, Objectives, and Activities

The Philippine Efficient Lighting Market Transformation Project (PELMATP) is intended to address the barriers to widespread utilization of energy efficient lighting (EEL) systems in the Philippines. It is aimed at contributing to the realization of the country’s sustainable development objectives and its goal in reducing GHG emissions in the energy sector. It will specifically focus on the promotion of EELs energy efficient version of linear fluorescent lamps (i.e., slim tube T8 triphosphor), CFLs, high intensity discharge (HID) lamps, ballasts (low loss electromagnetic and electronic), and energy efficient luminaires. The project will accelerate integration of EEL promotion programs to the energy conservation and energy efficiency (EC&EE) programs of the Philippines’ Department of Energy (DOE), enhance private sector’s involvement and appreciation of the benefits of EELs, and ensure that environmental impacts associated with the widespread use of EELs are mitigated.

The project objectives will be achieved with the implementation of specific barrier removal programs that will involve:

1. updating of policies, standards and guidelines on lighting applications;
2. institutional and technical capacity building;
3. consumer education and information dissemination;
4. development and implementation of appropriate financing mechanisms; and
5. mitigating environmental impacts of the widespread utilization of EELs.

Lessons Learned and Recommendations

EEL technology is evolving very fast. In this sense it is fundamental for interventions like this one to create financial mechanism to allow independent development of standards by the country government as well as testing equipment procurement in order to break the development aid dependence. For the same reason during the project implementation, the responsible need to be constantly in contact with the market to be sure the project is always promoting the cutting edge technologies. If this issue is not properly addressed the risk is, as it was happening at the end of the implementation of PELMATP, the market is ahead of the project: while the project was promoting T8 technology, a more efficient tube, T5 was already sold in the country.

The possibility to calculate the electricity consumption reduction associated with EEL promotion directly i.e. through the hourly electricity national consumption curve analysis, instead than through a survey should be explored, especially in countries like the Philippines where the lighting is responsible of the 16% of the overall electricity consumption.

The poorer part of the Filipino society has not been reached by the intervention: a special attention needs to be paid to them in similar projects.

Capitalizing on the project success increasing the awareness of the public of the benefits of energy efficiency lighting and learning from the project experience, the implementation of future programs partnering with electric utilities should be considered to promote the financing of energy efficient lighting through providing the option to the consumers to pay for the cost of implementation over a period of time.

The limited scope demonstration projects, while performed, have not resulted in a sustainable model that can be replicated as well since the project has not allotted budget for this activity.

A new initiative to develop ESCO operation in the Philippines is recommended to be launched. The Project overall goal is to create an Energy Service Company (ESCO) as self-sustaining company conducting energy efficiency activities at the municipal and regional level.

The initiative would include two main components:

1. establishment of the municipal energy service company (ESCO) and,
2. performing demonstration of the energy saving program. A potential municipality need to be selected in consultation with the government, stake holders and executing agents.

Savings Narrative:

The energy saving aimed at were estimated in the Project Document to 2,704 GWh and equivalent CO2 emission reduction of 497,000 tonnes of CO2.
A final survey was carried out by IIEE to quantify the CO2 and electricity consumption reduction but the final results have not yet been distributed. Consequently at the moment the achievement of the project goal cannot be evaluated.