TOP officials of the Asian Development Bank (ADB) and the Department of Energy (DOE) are discussing a new financing package to improve energy efficiency in public buildings in the Philippines.
‘In partnership with ADB, the DOE is going to be in discussion to promote public building energy efficiency and I hope this project or financing will be soon materialized,’ ADB Energy Director Keiju Misuhashi said in a news briefing last Wednesday.
Misuhashi said the project may serve as a ‘building block’ for scaling up energy-efficiency measures nationwide.
During the forum, the multilateral lender revealed its ‘Pan-Asia Grid Initiative,’ or ‘Pagi,’ a regional platform aimed at expanding energy connectivity across Asia and the Pacific through investments in transmission networks, renewable energy development, and grid modernization.
According to the ADB, the Pagi aims to mobilize up to $50 billion in investments over the next decade, unlock 20 gigawatts of renewable energy capacity, build 22,000 circuit kilometers of transmission infrastructure, and improve electricity access for some 200 million people across the region.
The initiative is also expected to reduce power-sector emissions by 15 percent and generate about 840,000 jobs.
In the near term, the ADB hopes to mobilize up to $20 billion in financing, facilitate the integration of 7 gigawatts of cross-border energy capacity, and support the development of 10,000 circuit kilometers of transmission lines.
According to Mitsuhashi, the Pagi goes beyond cross-border power interconnections and includes efforts to strengthen domestic power systems, increase renewable energy integration, and improve grid resilience.
For the Philippines, he said domestic connectivity remains an important part of the broader vision.
While the country has already linked the Luzon, Visayas, and Mindanao grids, Mitsuhashi noted that many islands remain outside the interconnected system, underscoring the need for continued investments in transmission infrastructure.
He said future ADB support could take different forms depending on the project’s structure, including potential financing opportunities with the National Grid Corporation of the Philippines for privately-driven transmission projects or public-sector financing if the government determines that strategic interventions are needed.
Apart from energy efficiency, Mitsuhashi said the ADB is also working with the DOE on efforts to accelerate geothermal development by helping reduce risks associated with early-stage exploration activities.
He noted that geothermal expansion in the Philippines has remained limited in recent years despite the country’s significant resource potential.
‘For geothermal power, there’s been a bit of a lull for a long time. There’s no geothermal power expansion in the country since the privatization,’ Mitsuhashi said.