Techno-economic Assessment of Floating Offshore Wind Energy in the Philippines

Offshore wind development in the Philippines remains at a standstill owing to the relatively high cost of the technology despite the government’s ambitious goal to produce 19–50 GW by 2050. Previous studies have shown that bottom-fixed turbines can be utilized to reach the lower end of the productio...

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Main Authors: Alec Venzo Abella, John Michael Pasaraba, Job Immanuel Encarnacion
Format: Article
Language:English
Published: The Korean Society of Ocean Engineers 2024-12-01
Series:한국해양공학회지
Subjects:
Online Access:https://doi.org/10.26748/KSOE.2024.085
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author Alec Venzo Abella
John Michael Pasaraba
Job Immanuel Encarnacion
author_facet Alec Venzo Abella
John Michael Pasaraba
Job Immanuel Encarnacion
author_sort Alec Venzo Abella
collection DOAJ
description Offshore wind development in the Philippines remains at a standstill owing to the relatively high cost of the technology despite the government’s ambitious goal to produce 19–50 GW by 2050. Previous studies have shown that bottom-fixed turbines can be utilized to reach the lower end of the production target. Still, most potential can be achieved in greater depths where floating turbines are more appropriate. Therefore, this study performs a techno-economic assessment for floating offshore wind energy using global information system (GIS) software to analyze the technical and economic potential of floating offshore wind energy in the Philippines. Data from the Global Wind Atlas was used to obtain the technical potential of sites that may be used for floating offshore wind turbines. Exclusion zones are set up according to distance from shore, marine protected areas, oil and petroleum sites, shipping lanes, and submarine cables. Factors on distance to shore, port, and substation, as well as natural hazards and bathymetry, are considered according to a weighted analytic hierarchical process. The net present value (NPV) of each potential site is then calculated by considering the capital, operational, and decommissioning cost of a site at a 6% interest rate and 25 years of operational life. Results show that there is a total potential of 813 GW that can be produced from a total of 20 non-contiguous sites. However, the current feed-in tariff (FIT) rate of 8.53 Php/kW is insufficient to make any sites profitable as all NPVs are negative. The breakeven prices can guide the Philippines government to set an appropriate rate at a minimum of 10.14 Php/kW.
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spelling doaj-art-6ed925bcf2bf4873b0ee4c5318a9258b2025-08-20T02:56:01ZengThe Korean Society of Ocean Engineers한국해양공학회지2287-67152024-12-0138644945810.26748/KSOE.2024.085Techno-economic Assessment of Floating Offshore Wind Energy in the PhilippinesAlec Venzo Abella0https://orcid.org/0009-0001-6461-8825John Michael Pasaraba1https://orcid.org/0009-0000-0092-7170Job Immanuel Encarnacion2https://orcid.org/0000-0002-0654-6341University of the Philippines DilimanUniversity of the Philippines DilimanUniversity of the Philippines DilimanOffshore wind development in the Philippines remains at a standstill owing to the relatively high cost of the technology despite the government’s ambitious goal to produce 19–50 GW by 2050. Previous studies have shown that bottom-fixed turbines can be utilized to reach the lower end of the production target. Still, most potential can be achieved in greater depths where floating turbines are more appropriate. Therefore, this study performs a techno-economic assessment for floating offshore wind energy using global information system (GIS) software to analyze the technical and economic potential of floating offshore wind energy in the Philippines. Data from the Global Wind Atlas was used to obtain the technical potential of sites that may be used for floating offshore wind turbines. Exclusion zones are set up according to distance from shore, marine protected areas, oil and petroleum sites, shipping lanes, and submarine cables. Factors on distance to shore, port, and substation, as well as natural hazards and bathymetry, are considered according to a weighted analytic hierarchical process. The net present value (NPV) of each potential site is then calculated by considering the capital, operational, and decommissioning cost of a site at a 6% interest rate and 25 years of operational life. Results show that there is a total potential of 813 GW that can be produced from a total of 20 non-contiguous sites. However, the current feed-in tariff (FIT) rate of 8.53 Php/kW is insufficient to make any sites profitable as all NPVs are negative. The breakeven prices can guide the Philippines government to set an appropriate rate at a minimum of 10.14 Php/kW.https://doi.org/10.26748/KSOE.2024.085techno-economic assessmentfloating offshore windgisexclusion criteriaahp
spellingShingle Alec Venzo Abella
John Michael Pasaraba
Job Immanuel Encarnacion
Techno-economic Assessment of Floating Offshore Wind Energy in the Philippines
한국해양공학회지
techno-economic assessment
floating offshore wind
gis
exclusion criteria
ahp
title Techno-economic Assessment of Floating Offshore Wind Energy in the Philippines
title_full Techno-economic Assessment of Floating Offshore Wind Energy in the Philippines
title_fullStr Techno-economic Assessment of Floating Offshore Wind Energy in the Philippines
title_full_unstemmed Techno-economic Assessment of Floating Offshore Wind Energy in the Philippines
title_short Techno-economic Assessment of Floating Offshore Wind Energy in the Philippines
title_sort techno economic assessment of floating offshore wind energy in the philippines
topic techno-economic assessment
floating offshore wind
gis
exclusion criteria
ahp
url https://doi.org/10.26748/KSOE.2024.085
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AT johnmichaelpasaraba technoeconomicassessmentoffloatingoffshorewindenergyinthephilippines
AT jobimmanuelencarnacion technoeconomicassessmentoffloatingoffshorewindenergyinthephilippines