By Rafael Raymundo A. Evangelista | Maria Josefina M. Concio
The Department of Environment and Natural Resources (“DENR”) issued on 18 January 2024 Administrative Order 2024-02 (“Administrative Order”), otherwise referred to as the Interim Guidelines for Environment Compliance Certificate (ECC) Under the Philippine Environmental Impact Statement System (PEISS) for Offshore Wind (OSW) Energy Projects.
The Administrative Order provides the Environmental Impact Assessment (“EIA”) regulatory framework that aims to balance the benefits of using the oceans for renewable energy exploration, development, and utilization and the need for the protection, restoration, and regeneration of the environment. Pursuant to the Rules of Procedure for Environmental Cases, the Precautionary Principal requires that when human activities may lead to threats of serious and irreversible damage to the environment that is scientifically plausible but uncertain, actions shall be taken to avoid or diminish that threat. Correspondingly, in the Administrative Order, the Precautionary Principle is adopted in evaluating the appropriate EIA study for Offshore Wind Energy Projects (“OSW”) and in identifying the mitigating measures to address the adverse impacts of OSW on the ocean and marine environment.
The Administrative Order applies to all OSW previously issued an Environmental Compliance Certificate (“ECC”) and all new OSW issued Offshore Wind Energy Service Contracts (“OSWESC”) with the Department of Energy (“DOE”). Additionally, the Administrative Order recognizes two types of offshore wind technology:
- Bottom fixed foundation wind turbine generators; and
- Floating wind turbine generators.
The Four (4) Stages of OSW
The Administrative Order outlines four (4) stages in the lifetime of OSW and the corresponding steps and requirements to be complied with in each stage.
Stage 1: Pre-application Stage.
This stage includes the initial site selection, area clearance and application, and award of OSWESC from the DOE.
Stage 2: Pre-development/Exploration Stage.
This stage includes the acquisition of all permits and clearances as well as the undertaking/preparation of all required studies, applications, and plans. The activities during the Pre-development/Exploration Stage must be completed within five (5) years, with a possible extension of two (2) years.
Stage 3: Development/Construction and Operation Stage.
The Development/Construction Stage involves the mobilization of the offshore work, while the Operation Stage concerns the selling and trade of power, performance management, maintenance and repair, and asset management.
Stage 4: Decommissioning Stage
The developers of OSW must submit an Abandonment and Termination Plan (“ATP”) for approval of the DENR and DOE for decommissioning the attendant facilities/structures of the OSW and seabed restoration or rehabilitation of the production area within five (5) years from the confirmation of the Declaration of Commerciality of the OSW. The ATP shall be reviewed and updated by the developers every five (5) years or as the need arises to consider changes to the wind farm structures.
The Administrative Order provides measures, during all four (4) stages, to minimize/mitigate the potential environmental impact of OSW.
Procedures and Requirements for the Issuance of an Environmental Compliance Certificate (“ECC”)
The Administrative Order provides the outline before the DENR issues an ECC to the developers of OSW.
For the Pre-development/Exploration Stage, the developers must comply with the laid down procedure in the Administrative Order, submit documentary requirements, identify environmental and social considerations, and conduct climate and disaster risk assessment to be issued an ECC by the DENR. Additionally, the DENR, through the EIA Monitoring Committee, shall undertake regular and transparent monitoring and evaluation during the Pre-development/Exploration Stage.
For the Development/Construction and Operation Stage, the developers must likewise comply with the laid down procedure in the Administrative Order, submit documentary requirements, identify environmental and social considerations, and include the following discussions in the EIA:
- Marine assessment (including ocean dynamics), including identification of impacts and mitigating measures;
- Impact on flora and fauna, birds/wildlife animals and information on the migration pattern of birds offshore;
- Noise levels associated during the construction and operation of OSW, which affect marine mammals/fishes/birds, including electro-magnetic signals that might be emitted;
- Vibration impact on the marine ecosystem;
- Hazardous chemicals and materials during maintenance of the wind turbine;
- Waste management system/disposal system for the turbine blades;
- Wastes generated by attending vessels and means of management;
- Physical and cultural resources in the offshore areas [coordinate with the National Museum (NM), National Historical Commission of the Philippines (NHCP), and the National Commission for Culture and Arts (NCCA)];
- Waste and material flow analysis in the end-of-life of OSW;
- Approaches/Technology to be used in the monitoring of impacts for OSW development; and
- Climate and disaster risk assessment.
The Secretary or the Environmental Management Bureau Director, upon clearance by the former, and upon the recommendation of the EIA Review Committee, shall approve the issuance of the ECC for either the Pre-development/Exploration Stage or the Development/Construction and Operation Stage of OSW.
For more information, a copy of the Administrative Order may be accessed through DENR’s website.