7 Reasons why solar energy is important

Around the world, nations are racing to adopt clean, renewable energy sources to address climate change, reduce their dependence on fossil fuels, and build stronger, more resilient economies. Among all renewable energy options, solar energy emerges as one of the most promising. Its abundance, declining cost, and wide range of benefits make it central to global efforts toward sustainability.

Solar energy holds unique potential. With year-round sunshine and growing electricity needs, the Philippines is well-positioned to benefit from this resource. Understanding the importance of solar energy enables us to recognize its transformative impact on not only the environment but also communities, businesses, and the national economy.

What is solar energy? 

Solar energy is extracted from the sun’s radiation and converted into usable forms of energy, most commonly electricity. Photovoltaic (PV) panels, which directly convert sunlight into electricity, are the most widespread technology. Concentrated solar power (CSP) systems utilize mirrors to concentrate sunlight, producing steam that drives turbines.

Unlike fossil fuels, solar energy is a renewable and inexhaustible source. The sun provides more energy in one hour than humanity consumes in an entire year. Harnessing even a fraction of this immense potential significantly reduces greenhouse gas emissions and helps countries achieve their climate goals.

What is the importance of solar energy? 

Solar energy’s importance extends beyond environmental protection. It offers a comprehensive suite of benefits that make it crucial for building sustainable societies and resilient economies. 

1. It is a renewable energy source and reduces carbon emissions 

One of the most compelling reasons why solar energy is important is that it is a renewable source. Unlike coal, oil, or natural gas, solar does not run out. It also produces electricity without releasing greenhouse gases, which are the main drivers of global warming.

Solar energy systems also produce electricity with no air pollutants or carbon emissions during operation. This makes solar essential in the fight against climate change.

For the Philippines, this matters greatly. The country is highly vulnerable to typhoons, floods, and rising sea levels. Reducing carbon emissions through renewable energy helps mitigate these risks while contributing to global climate commitments.

ACEN Solar Plant Aerial of Solar Panels

2. It is suitable for the environment 

Beyond lowering emissions, solar energy reduces other forms of environmental damage. Fossil fuel extraction and combustion contribute to air and water pollution, deforestation, and habitat destruction. Solar panels, by contrast, require no fuel, no drilling, and no ongoing extraction.

While panel production does involve some environmental impact, the overall lifecycle emissions of solar are much lower compared to traditional energy sources. Studies show that solar systems repay their “energy debt”—the energy used to manufacture and install them—within one to four years, while continuing to generate clean electricity for over 25 years.

This long-term sustainability underscores the importance of solar energy for protecting ecosystems and public health.

3. It is a reliable, cost-effective energy source 

Solar has become one of the most cost-competitive energy sources in the world. The International Energy Agency notes that solar is now the cheapest form of electricity in history in many regions.

Reliability has also improved. Advances in panel efficiency, coupled with better grid integration and battery storage, mean solar can provide consistent power even when the sun is not shining. This makes solar one of the most reliable renewable energy sources in the Philippines.

4. It saves on electricity costs 

One of the most practical answers to how important solar energy is to us is its impact on household and business expenses. Once solar panels are installed, they significantly reduce electricity bills. Over time, the cost savings can outweigh the initial investment.

For commercial and industrial users, the ability to generate their own power provides protection from volatile electricity prices. In areas where grid electricity is expensive or unreliable, solar offers a cost-saving, dependable alternative.

In the Philippines, where energy costs are among the highest in Southeast Asia, these savings are especially significant.

5. It can be stored 

What happens when the sun is not shining? The answer lies in energy storage. Modern battery technologies allow excess solar electricity to be stored during the day and used at night or during cloudy periods.

This not only makes solar more reliable but also strengthens energy security by reducing dependence on imported fuels. Coupled with smart grids and microgrid systems, storage enhances resilience against power outages, something particularly valuable in a country prone to natural disasters.

a power plant engineer installs solar panels

6. It creates jobs and boosts economic growth 

Another reason why solar energy is important is its role as an economic driver. The solar industry creates jobs across the value chain, from manufacturing and installation to maintenance and research.

Solar power companies in the Philippines bring investments to local communities, generate employment opportunities, and support broader economic development. By investing in solar energy, the country not only addresses environmental concerns but also stimulates inclusive economic growth.

7. It promotes energy independence 

Finally, solar energy reduces reliance on imported fossil fuels. For nations like the Philippines, which import a significant share of their energy needs, solar provides a pathway to greater independence.

By harnessing a domestic, inexhaustible resource, the Philippines can shield itself from global fuel price fluctuations and supply disruptions. This stability is particularly important for ensuring a reliable power supply and keeping electricity prices manageable.

Energy independence also aligns with national security objectives, reducing vulnerability to external shocks and strengthening resilience.

How ACEN promotes the importance of solar energy 

As a  renewable energy company in the Philippines, ACEN plays a vital role in advancing solar power and demonstrating solar energy’s importance for the country’s future.

Expanding utility-scale solar 

ACEN has developed large-scale solar farms that contribute significant capacity to the national grid. These projects help stabilize the electricity supply, diversify the energy mix, and reduce dependence on fossil fuels.

Supporting communities 

Solar investments do more than produce electricity. They create jobs, provide skills training, and improve livelihoods in host communities. By partnering with local stakeholders, ACEN ensures that solar development supports inclusive and sustainable growth.

Commitment to net zero 

ACEN has laid out a clear roadmap to net zero carbon, with solar energy playing a central role. This long-term vision aligns with global climate goals and highlights ACEN’s leadership in sustainability.

engineers looking at an electric tower

Integrating with broader renewable goals 

Solar is part of ACEN’s diverse portfolio, which also includes wind, geothermal, and energy storage. The integrated approach ensures a reliable, resilient, and sustainable energy future.

Embedding sustainability 

Every solar initiative is aligned with ACEN’s sustainability framework, ensuring that environmental, social, and governance principles guide decision-making and operations.

The significance of solar energy lies in its ability to deliver clean, reliable, and affordable electricity while addressing some of the most urgent challenges of our time. It protects the environment, reduces carbon emissions, creates jobs, saves money, and strengthens energy security. For the Philippines, where sunlight is abundant and energy costs are high, the answer to the question “Why is solar energy important?” is clear: it is essential for building a sustainable and resilient future.

ACEN is proud to be at the forefront of this transformation. Through large-scale solar projects, community partnerships, and a strong commitment to net zero, ACEN demonstrates not only how solar energy can be harnessed to benefit both people and the planet.

References:

  • Ashok, S. (2025, July 6). Solar energy. Encyclopædia Britannica. https://www.britannica.com/science/solar-energy
  • Fiestas, P. (2025, May 2). How did solar energy become the ‘cheapest energy source in history’? WTS Energy. https://www.wtsenergy.com/solar-cheapest-energy-source-in-history-factor/
  • Gupta, R., & Roaf, S. (2007, January). (PDF) Solar power: Using energy from the sun in buildings. https://www.researchgate.net/publication/304655290_Solar_Power_Using_Energy_from_the_Sun_in_Buildings
  • Marsh, J. (2021, March 12). The importance of solar energy in our daily life. Environment Co. https://environment.co/the-importance-of-solar-energy-in-our-daily-life/
  • U.S. Energy Information Administration – EIA – independent statistics and analysis. Solar energy and the environment – U.S. Energy Information Administration (EIA). (2024, January 19). https://www.eia.gov/energyexplained/solar/solar-energy-and-the-environment.php