Energy Regulatory Commission chairperson Agnes Devanadera proposed a 40-year fixed energy supply mix to guide investors and secure the country’s energy requirements.
“Provision of a specific target in terms of capacity and technology will provide investors with better signals as to where they should invest,” said Devanadera.
She said the energy mix should be technology-specific with a target capacity increase every year.
This is among the list of proposals she prepared for the incoming administration to help bring down power costs.
“The target supply mix should likewise be fixed for the next 40 years. Investment in power projects are capital intensive and long-term in nature. Thus, the target supply mix should not be shifting from time to time. Otherwise, investors will end up with stranded investments that they can no longer later on recover from. This will, likewise, turn away future investors,” Devanadera said.
She said for the past six years, the national government aimed to increase the use of renewable energy sources but no fixed energy supply mix was implemented.
