Summary Abstract Companies Nourishing 13% of the country's power capacity 3 MLN TPY LNG will need to replace the country's malampaya gas LNG increased import power prices Renewable power growth key to limit LNG Prices MANILASİKGAPOR, May 24 - Just four years before the Filipino's single gas field was dry, the country began to import liquefied natural gas and creates a new headache for a government struggling to bend. LNG is needed to help change the gas from the Malampaya area, which supplies energy power plants that supply energy power plants that meet one -fifth of electrical requirements on the main Luzon Island of the country, or 13% of the total established capacity throughout the country. Import gas costs will be transferred directly to energy prices and as a result power prices can skip sharply, which is a challenge for a country where inflation reached the highest level of 14 years in January. Although LNG prices fell from record levels last year because Europe fought for gas, the demand for winter is expected to rise again as the demand climbs, and Hong Kong, Vietnam and the Philippines become LNG buyers for the first time this year. Poten & Partners Senior LNG analyst Irwin Yeo said, "A great challenge LNG price volatility and how safe it is supply," he said. The authority said that the country will "face economic and political risks" LNG costs and go to power prices. The data obtained from the Energy Department has fell sharply since the summit in 2019 and has reached its lowest level since 2004. In order to replace the supply of Malampaya, the country will need approximately 3 million tons of LNG per year, but it will fall to approximately 2.3 million-2.7 million TPY and probably less than 2030, depending on how fast it is produced from renewable energysaid Kittithatlantau Group Consultancy Promtohaveepong. The Philippines currently aim to have 35% of its power produced by renewable energy sources from approximately 23% to 2030. LNG price risk The country's first LNG cargo arrived in April to supply San Miguel Global Power Holdings for trials at the first import terminal with 137,000 billion cubic meters of gas gas. Later, the First Gen , which uses malampa gas at four energy power plants with a combined capacity of 2,000 megawatts, plans to start LNG imports when the floating storage and regaziation unit is ready in Batangas. Francis Giles Puno, the first Gene president, said he would face higher fuel costs because the company should trust the expensive diesel without LNG. "So LNG is to increase the fuel cost."Said. Analysts say it will be challenging for new markets despite the low prices, despite the low prices existing, despite the current low prices, because analysts remain close at a time when other markets such as Vietnam and Bangladesh compete for gas. For new buyers, Spot LNG prices fell to 9.80 dollars per million British thermal units in May after a slight winter and lower demand after the average of approximately $ 40mMBTU, which was driven by the Russian-ikrama war in 2022, in 2022. "But consensus is not expected to continue this decline in prices," Energy Economics and Financial Analysis Institute analyst, "Said. LNG, currently about $ 1-3mMBTU from the Philippine gas, based on the price of the barrel oil, two analysts, two analysts, imported fuel can lead to an increase in power costs of 15-35%, he said. No subsidy In addition to power, the government approved the seven LNG import terminal project with a total capacity of 21.98 million TPY, which wants to expand its use of LNG to industrial, commercial, housing and transportation sectors. Rowena Guevara , Undersecretary of the Ministry of Energy of the Filipino, told that consumers have no potential to protect their potential electricity rates with subsidies and that there is no power implementation plan. Distributors such as Manila Electric Company buy power directly from independent manufacturers and wholesale electrical spot markets. In March, Energy Secretary Raphael Lotilla said the Government and Energy Regulatory Commission was looking for ways to prevent price shocks, but it did not give details. "We are looking at measures to protect people from the volatility of LNG prices. However, the most important issue is that we should have sufficient power supply," Lotilla said on May 16th.Said. He reports by Emily Chow in Singapore and Enrico Dela Cruz in Manila; Our standards Thomson Trust Principles.