PNOC ignites dialogue on energy efficiency and sustainability

(PE2 Note: PNOC President Oliver Butalid invited PE2 president Alexander Ablaza to speak on EE before all PNOC staff.)

TAGUIG CITY, Metro Manila—Energy efficiency (EE) plays a crucial role in the country’s transition to clean energy, yet it often receives less attention than renewable energy (RE). This was the key message of Ignition Talks #14, held on February 21, 2025, where PNOC employees engaged in a thought-provoking discussion on how EE can serve as the “first fuel” in the country’s journey toward net-zero.

As part of PNOC’s ongoing Ignition Talks series—a platform for collaboration and innovation among industry partners—the session featured Alexander Ablaza, President of the Philippine Energy Efficiency Alliance (PE2), who shed light on the potential of EE in driving economic growth, reducing emissions, and securing the country’s energy future.

The discussion opened with Officer-in-Charge of the Office of Senior Vice President for Energy Investments Alma Taganas, explaining how EE supports the country’s energy transition by reducing dependence on imported fuel, lowering electricity costs for businesses and consumers, and minimizing environmental impact. She also highlighted PNOC’s efforts to integrate EE into its operations, such as piloting energy-efficient devices for air conditioning units called Rooftop Solar PV for Government Buildings.

During his discussion, Ablaza started with a powerful call to action: “After today, I want each of you to speak confidently about energy efficiency and conservation. Begin at home, integrate it into your work here at PNOC, and eventually, champion it as part of a larger, collective mission.” He emphasized that while RE often garners more attention from investors, policymakers, and the public due to its focus on the supply side, EE is equally vital to the net-zero transition, which is primarily driven by demand-side considerations. Nevertheless, greater advocacy and support from both the government and private sector are critical to ensure EE receives the recognition it deserves, especially since it is widely regarded as the most cost-effective path to achieving energy security.

He further encouraged PNOC employees to take an active role in promoting EE within the government and industry. Given PNOC’s expertise in the energy sector, he underscored that the company is well-positioned to drive EE initiatives and influence policy discussions. The Philippines, he said, is already gaining global recognition for its efforts in EE, but more work is needed to fully integrate it into national strategies.

Looking ahead, Ablaza noted that EE is expected to surpass coal and natural gas as the largest energy source. However, achieving this requires trillions of pesos in investment and innovative financing mechanisms such as ESCO performance contracts, public-private partnerships, and joint ventures. He also highlighted Republic Act 11285 or the Energy Efficiency and Conservation Act as a legal framework for EE but stressed the importance of stronger incentives to drive private sector participation and policy implementation.

Ablaza emphasized that EE is more than just reducing electricity consumption—it’s about harvesting wasted energy and reinvesting it into the economy. This perspective resonated with PNOC employees, who gained a renewed understanding of EE as a vital, long-term resource for national development. With these insights, PNOC aims to strengthen its role in expanding EE initiatives and fostering a culture of sustainability across the industry.