The new law will help the Philippines to "capture a part of this investment flow, and this is also timely because it mitigates climate change," President Arroyo said. She continued to say that as "the world's second largest geothermal power producer, the country has the highest wind potential power in the world, there is also high solar power penetration, abundant hydropower and biomass resources."
Through the new law, the government can save as much as 60 billion Philippine pesos (around US$ 1.2 billion) a year. The Energy Department's medium-term renewable energy policy framework aims to develop more than 4,000 MW of additional renewable energy capacity, some 1,200 MW of which will come from geothermal sources. The law further encourages the grant of fiscal and non-fiscal incentives to investors. These incentives will include tax credits and tax holidays.
Source: Manila Standard