BALAMBAN, Cebu – The Board of Investments (BOI) has expressed confidence its P1.5 trillion investment pledges target this year will be achieved.
In an interview over the weekend here, Trade Undersecretary and BOI managing head Ceferino Rodolfo said several big renewable energy (RE) projects are expected to be approved within the year. “These renewable energy projects are really big, that’s why we are confident we will hit the P1.5 trillion target,” he said.
“At least five RE projects are expected to be approved. At the very least, the average is around $2 billion per project. These are offshore wind and floating solar facilities.”
Rodolfo said most of the expected investments will be from foreign companies that have local partners. For the first quarter of the year, BOI’s investment approvals already amounted to P463.3 billion.
Majority of these were invested in RE, manufacturing, administrative services, transportation, storage and agriculture.
The BOI originally set the investments target this year atP1 trillion but due to the better-than-expected turnout in the first quarter, Rodolfo said President Ferdinand R. Marcos Jr. mandated the agency to raise the target to P1.5 trillion.
Rodolfo said the move to fully open the country’s renewable energy sector to foreign ownership helped attract more foreign investments.
The Department of Justice said natural resources, such as solar, wind, hydro, and ocean or tidal energies, are not covered by constitutional limitations on foreign ownership.
“What we did was to allow 100% foreign equity in RE, including offshore wind. Before it was 60-40 so somehow, that hindered them from entering in the country,” he explained.
Aside from RE, Rodolfo said most of the investments that are in the pipeline will be invested in the telecommunications sector. (PNA)