Norway eyes Mindanao for green energy—but will locals see the gains?

DAVAO CITY  (May 4)  — Norway is looking to Mindanao as a new frontier for renewable energy investments, citing the region’s vast natural resources and recent policy reforms. But as interest grows, so do questions about who ultimately benefits from the green transition.

At the European Free Trade Association (EFTA)–Mindanao Dialogue, Norwegian Ambassador Christian Halaas Lyster pointed to expanding opportunities in solar, hydropower, and offshore wind—sectors now open to full foreign ownership following government reforms.

“We see strong potential in the Philippines, including Mindanao,” Lyster said.

Open doors—but for whom?

The policy shift allowing up to 100% foreign ownership in renewable energy projects is being pitched as a game changer. It lowers barriers for global players—but also raises concerns about local participation and control over natural resources.

For a region long rich in energy potential but short on inclusive development, the entry of foreign capital revives a familiar tension: investment versus equitable gain.

Norway is also exploring newer technologies—floating solar, battery storage, waste-to-energy, and carbon capture—through institutions like Norfund.

Yet none of these projects have been finalized in Mindanao, leaving communities waiting to see whether proposals translate into jobs, lower power costs, or simply new layers of extraction.

Davao positions itself as gateway

Local officials say Davao City is ready to anchor this green push.

Investment Promotion Center head Christian D. Cambaya described the city as a strategic hub linking Mindanao’s production zones to global markets, backed by infrastructure upgrades and a growing focus on clean energy.

Plans for electric buses, charging stations, and green maritime solutions—including electric ferries—signal a shift toward sustainability.

But outside major urban centers, many areas still struggle with basic energy access and high electricity costs—gaps that large-scale renewable projects have yet to consistently address.

Trade gains, local gaps

Mindanao’s agricultural exports—bananas, mangoes, coconuts—are gaining ground in European markets under trade arrangements with the European Free Trade Association.

Officials note exports are rising faster than imports, narrowing the trade gap. Still, small producers often face barriers in scaling up, meeting export standards, or accessing global value chains.

The risk: growth figures improve, but benefits remain concentrated.

Preconditions for investment

Mindanao Development Authority Secretary Leo Tereso A. Magno stressed that peace, investor confidence, and streamlined processes remain critical to unlocking the region’s potential.

That includes long-standing challenges—bureaucracy, land issues, and security concerns—that have historically slowed large investments in Mindanao.

Green promise, familiar questions

Renewable energy is being framed as the future of Mindanao’s economy—cleaner, more sustainable, and globally competitive.

But for many communities, the core questions remain unchanged:

Will these projects create stable local jobs?

Will they lower electricity costs?

Will communities have a say in how resources are used?

Or will Mindanao once again serve as a resource base—this time for “green” growth—without fully sharing in its returns?

As global demand for clean energy accelerates, Mindanao stands at a crossroads: a chance to lead in sustainability, or a repeat of old patterns under a new label.