- The Philippines and Saudi Arabia have announced plans to implement energy cooperation initiatives focusing on hydrogen exploration, sustainable aviation fuel, and energy efficiency.
- A roadmap for bilateral energy projects will be finalised in three months and will enhance digital technology, smart grids, and low-carbon technologies between the two nations.
The Department of Energy (DOE) of the Philippines and the Ministry of Energy of Saudi Arabia are set to move forward with a series of energy initiatives following the signing of a Memorandum of Understanding (MOU) last month.
In an official statement on November 6, both parties outlined their plan to hold a series of bilateral meetings to create a roadmap for joint energy projects, including the development of petroleum derivatives, native hydrogen exploration, sustainable aviation fuel (SAF), digital technology applications for electrical systems, and energy efficiency improvements.
The roadmap is expected to be finalized within three months and will be presented to Saudi Arabian Energy Minister Abdulaziz bin Salman Al Saud and Philippine Energy Secretary Raphael P.M. Lotilla. Energy Undersecretary Alessandro Sales will lead the bilateral talks.
“I welcome the collaborative efforts between our countries to implement the MOU, which is a direct follow-up to the discussions during President Ferdinand Marcos Jr.’s visit to Saudi Arabia in October of last year,” said Secretary Lotilla. “During the visit, Saudi state-owned companies expressed strong interest in investing in the Philippine energy sector.”
The MOU, signed on October 14, envisions various collaborative projects, including joint research on low-carbon technologies, policy exchanges, capacity-building in carbon capture, utilisation, and storage (CCUS), and hydrogen development.
Secretary Lotilla noted the significance of Saudi Arabia’s expertise in upstream energy sectors, particularly in hydrogen exploration, an area of shared interest. “Prince Abdulaziz and his team expressed interest in our naturally occurring hydrogen resources,” he said. “Given Saudi Arabia’s extensive experience in energy exploration and development, this cooperation holds great potential for both countries.”
The Philippines has significant hydrogen exploration potential, with abundant Precambrian crystalline shields and serpentinised ultramafic rocks. The DOE is offering two areas in the Zambales Ophiolite Complex for hydrogen exploration, with winning bidders expected to be announced soon.
In addition, the two countries will explore the production of Sustainable Aviation Fuel (SAF), an environmentally friendly alternative to traditional jet fuel. With the International Civil Aviation Organization (ICAO) setting global targets for SAF usage, the Philippines is well-positioned to contribute as the world’s second-largest coconut producer. The country produces nearly 15 million tons of coconuts annually, which could be utilised for food, oil, and SAF production.
“We are excited to explore how coconuts can be leveraged as a feedstock for SAF, helping both our countries meet international sustainability goals,” said the DOE.
Another critical area of collaboration is the application of digital technologies and artificial intelligence (AI) to improve the management of energy infrastructure. Both nations aim to enhance their energy grids with more intelligent systems, automated controls, and data-driven decision-making to minimise waste, optimise resource use, and improve energy security.
Saudi Arabia has made significant strides in energy efficiency through its Saudi Energy Efficiency Program (SEEP), which promotes regulations, standards, and incentives. Through this partnership, the Philippines aims to adopt Saudi Arabia’s advanced energy efficiency technologies and best practices to lower energy consumption, reduce costs, and promote sustainability.
With these initiatives, the Philippines and Saudi Arabia are set to strengthen their energy ties, embracing a future of cleaner, more efficient energy systems.