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open the development of its geothermal resources to the private sector. In 2001 the government privatized the National Power Corporation’s geothermal generating assets. To further open its geothermal market to private participation, the Philippines established a competitive bidding process for geothermal exploration projects in 2008, and legally defined geothermal resources as mineral resources, which enabled the participation of foreign companies in geothermal exploration and development.25 The increasing demand for electricity, government support, and ample resources are driving the development of geothermal energy in Philippines by a number of companies. In 2011 the Philippines government approved six geothermal power contracts for Pan Pacific Power Philippines Corp. and SKI Construction Group Inc.26 Recently, Maibara Geothermal, Inc. began the development of its Maibara geothermal project, which is expected to bring 20 MW of geothermal electricity online in 2013.27 Additionally, Energy Development Corporation, a Philippine company, is currently rehabilitating its Bacon-Manito, Palinpinon, and Tongonan geothermal power plants in the Philippines to ensure ongoing geothermal generation there.28 China China, one of the largest energy consumers in the world, issued its “greenest” five-year plan in 2011. The 2011-2015-plan includes targets to raise the share of non-fossil fuels in energy consumption to 11.4 percent and the carbon emitted per dollar by 17 percent.29 China’s push to increase its generation of renewable energy could have a favorable impact on the geothermal sector there. China has 12 major geothermal basins, amounting to an equivalent of 853 billion tons of common coal, which could generate around 7 billion GWh of electricity.30 Despite ranking first in the world in the use of geothermal resources for all applications, as of 2010 China ranked only eighteenth in geothermal electric power capacity, with only 24.2 MW installed.31 China forecasts 60 MW of installed geothermal energy capacity for electricity production by 2015, up from the current 24 MW installed.32 Several obstacles stand in the way of China reaching its geothermal goals. First, most of China’s known high-temperature resources are located in only two provinces – Tibet and Yunan.33 Closely tied to this issue is the fact that China has not done sufficient exploration to have full understanding of its geothermal resources, which impedes further development. Also, China does not yet have enough experts to support necessary geothermal technology R&D or deployment.34 To address obstacles to the development of its geothermal resources, China has sent several students to participate in the UN Geothermal Training Program in Iceland, a program that has been running for over 30 years.35 As a further expression of China’s interest in geothermal energy, Prime Minister Wen Jiabao’s visit to Iceland in April 2012 included a stopover at a geothermal power plant.36 Wen Jiabao and his Icelandic counterpart Prime Minister Johanna Sigurdardottir witnessed the signing of an agreement to expand collaboration and knowledge-sharing for geothermal energy between the Chinese Sinopec Group and the Icelandic company Orka Energy Holding. The agreement includes expanded cooperation in harnessing geothermal energy for heating, electricity production and other related projects.37 May 2012 8PDF Image | Geothermal International Market Report
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