Building a local supply chain is essential for wind power because it significantly boosts a nation’s wealth and creates broad-based employment far beyond the energy sector itself. According to the authors of the newly released report, the depth of domestic participation determines the overall scale of economic benefits, as localized manufacturing triggers a ripple effect of spending that supports various community industries.
The report concludes that “the scale of this economic benefit is highly dependent on the depth of domestic supply chain participation” and finds that a high-localization strategy “is estimated to generate an additional 47 billion pesos in local investment compared to a ‘Low localisation’ scenario.”
In simpler terms, when a country builds its own wind farm parts like foundations or towers, it keeps more money within its own borders instead of sending it to international suppliers. This direct spending pays the salaries of local workers, who then spend that money at neighborhood shops, grocery stores, and transport services. These ripple effects are actually the biggest engine for growth, creating more jobs in the wider community through household consumption than the wind project does through direct hiring.
Released in March 2026 by the Global Wind Energy Council, the report “Offshore Wind for Coastal Development: Socio-Economic Impact Study” explores the economic potential of wind energy in the Philippines. It was prepared by a joint team of experts from GWEC and the consultancy NIRAS, led by Ann Margret Francisco and Juan Miguel Consolacion.