December 9, 2004

Remarks of U.S. Ambassador Francis J. Ricciardone
DOE Wind Power Summit

December 9, 2004
Intercontinental Hotel, Makati

Mr. Secretary, Chairman Aldana, Director Ortiz, Undersecretary Peter Abaya, Director Bora, movers and shakers in the power industry, environment, government, private sector, ladies and gentlemen, magandang umaga sa inyong lahat, good morning. It’s wonderful to be here with you today.

The Undersecretary has just done a fine job recounting all the wonderful things about being here in this country. And I was going to start off myself sort of setting that context. There are many things about the Philippines that are not only good, but very positive and exemplary. I think the Undersecretary touched on some of the most relevant ones here this morning. The Philippines is not only doing okay, but is in many ways a world leader in certain sectors—and renewable energy and diversity of energy sources surely has got to be one of the exemplary ways, one of the happy things about the Philippines, and one of the hopeful and promising things about this great country of yours. Under the wise and foresighted leadership of Secretary Perez, just in the few years that I’ve been here, I’ve seen great advances. Among them, of course, is what we’re talking about here today at the wind power summit. I should make a little commercial—so active is your country in energy issues that just across the way in another hotel near here is another event that the United States is supporting, as we are this one today, on hydrogen fuel cell cycles and the promise that that holds for all of us worldwide in our growing demand and need for energy, and particularly clean energy. I’m afraid I can’t be in two places at once or I’d be over there speaking as well. So Chato, please let people know that I’m conscious of it and wish to support them across the way in the Shangri-La as well.

In the energy sector, we have more examples of how the United States and the Philippines really are partners. Not only in the private sector, where we have American investors and more companies interested in participating but also government to government. If the relationship is healthy in the modern world, the relationship consists more of private sector contacts and interaction than government ones. It’s sort of a switch from the old days when industries really ran relationships. The best thing and most healthy relationships run themselves, through the raw energy of our citizens and our great companies working together. And we in government, in the modern world, in our best relationships, stand by to add value wherever we can and to support these partnerships. We are very pleased in the energy sector to be cooperating across the board, with particular relevance to wind power, that we’re here to talk about today. We played a small but we hope very helpful role through the United States Agency for International Development (USAID) supporting the United States National Renewable Energy Laboratory.

Initially, going back to 1999, collaborating with the Philippines Department of Science and Technology to conduct the first study to evaluate the wind potential of the Philippines, we found through that study that this country has a potential for generating 76,000 megawatts from wind alone. We made the preliminary study results available for free. This is valuable intellectual property and we’ve put it out there so investors, including many we see represented here, could draw upon it. It’s one of the things government can sometimes do that the private sector won’t necessarily do on its own. So we started that and we’re glad to do it. Beyond that, we’re taking this to the next stage. We know there are challenges. Things have to be cost effective, it has to make sense to the market, has to make sense to investors because the government can’t subsidize something that’s sounds just kind of cool, fun, clean, new age and appealing to grown up hippies like me on its own merits, it’s got to make money. It’s got to make economic sense. So we’re taking this a step further. And I’m pleased to report to all of you that based on the wind atlas that was generated through that first work, USAID is working again with the National Renewable Energy Laboratory and Filipino partners are now going to move ahead to install measuring devices, wind measuring devices in ten locations throughout the country. So that when we collect good hard data, investors can be assured that we’re not just dealing with nice ideas, but that we have some hard facts to work with. If you’re going to take risks with investors you better have some reassurance that they’re going to pay off and that’s what we want to help to do.

We’re also working with the environment sector. We’re really glad to partner with the World Wildlife Fund and so many Filipino environmentalists and leaders in that sector. We’re working together to hand over today to Secretary Perez a wind investment promotion package. The package will serve as a handbook for investors to conduct your own feasibility studies, going beyond the basic data that you’ve already developed and will develop at these ten measuring sites, so that you can finally develop wind potential of this country or at least some fraction of it.

It really is a pleasure to be here in the Philippines. As the Undersecretary touted all its wonderful attributes, I am also struck as always by the famous musicality of this country. Thank you so much to those of you who began our morning together. There is no other country I would rather be at Christmas time. My first daughter who arrived last night to celebrate Christmas with me, my other daughter and my wife will be coming very soon; this will be our third Christmas in the Philippines. It’s a real privilege and a very special pleasure to spend it with you in this great country. I congratulate you all and I wish you a very happy holiday season and a very prosperous year ahead.

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