Davao City among potential winners in PH's first waste-to-energy auction

The Davao City government is among the potential winning bidders in the country's first waste-to-energy (WTE) auction, according to the Department of Energy (DOE), SunStar reported.

The city is one of nine qualified bidders that submitted 12 proposed projects with a combined offered capacity of 428 megawatts (MW) under the Special Green Energy Auction for Waste-to-Energy. The DOE said all offers from the October 13 electronic bidding passed its evaluation of bid bonds, capacities, prices and delivery schedules. All price offers came in below the approved reserve price, and the projects committed to start delivering electricity no later than December 31, 2029.

Energy Secretary Sharon S. Garin said the auction "opens new opportunities to turn municipal solid waste into a productive energy resource."

Davao City's proposed facility would rise in Barangay Biao Escuela, Tugbok District. Based on published project details, it is designed to process about 600 tons of waste a day and generate an estimated 13 MW, with around 11 MW available to the grid after the plant's own use. The project is being pursued with the Japanese government under an existing agreement.

A project description filed with the Environmental Management Bureau in March 2026 estimated the city produces 700 to 800 tons of municipal solid waste daily, straining disposal sites such as the New Carmen Sanitary Landfill, also in Tugbok District.

In September, the City Council approved on second reading the city's P685.3-million Supplemental Budget No. 2, which included P65 million for a project reserve fund covering the WTE development, including an initial P11-million bid.

The DOE stressed that inclusion in the Notice of Award is not final approval. Potential winners have 30 calendar days from the notice's posting on the DOE website to submit requirements, including a performance bond, an undertaking to deliver committed supply, and grid impact study documents. The agency said implementation would still depend on financing, reliable waste supply, permits, environmental compliance and grid connection.

WTE facilities must also comply with Republic Act 9003, the Ecological Solid Waste Management Act, and Department of Environment and Natural Resources Administrative Order 2019-21, which sets guidelines for such plants, including emission and pollution-control standards. Since not all household waste can be used as fuel, segregation, recycling and proper collection remain essential, SunStar noted.