Keith Cantera and his family had long considered installing solar panels but balked at the upfront cost of up to $5,000. The US-Israel war on Iran, which began in late February 2026, changed the calculation. Their monthly electricity bill rose from about $150 to as much as $220. Eight months on, they are having panels installed.
"The cost is about the same as paying our electric bills for three or four years based on the current rate," Cantera said. "But in the fifth year, we'll have recovered our investment, and electricity will essentially be free."
Cantera is part of a growing trend in the Philippines, a country that had Southeast Asia's highest electricity costs even before the war, comparable only to Singapore, where average incomes are more than ten times higher. The Philippines relies on imported coal and gas for more than 70 percent of its power mix, and the peso's slide to a record low against the US dollar has made imports even costlier.
Government trade data from China, where most panels are manufactured, show the Philippines imported $407 million worth of solar panels in March to May 2026, making it the biggest single overseas market for that period. Only the Netherlands bought more, but it redistributes them across Europe.
Lexus Grepo, CEO of solar supplier Solarmaxx, said demand has surged. "There is a 30-day wait because solar panel shipments can't keep up," he said. "In March, we had 40 projects, which was almost triple our monthly clientele. Since then, we have been setting up 25 to 30 systems a month."
Grepo does not expect demand to slow even if Middle East tensions ease. "I think people now realise that the world is an unpredictable place, so they have to be ready for any eventuality. Filipinos now see that they don't necessarily have to be at the mercy of the global energy market."
The shift is also partly driven by anger at electric companies that charge customers for so-called system losses, which include illegal connections. Cantera said learning about paying for someone else's consumption was the last straw: "Who would agree to paying for something that you did not use?"
However, the upfront cost of a solar power system remains too high for most Filipinos. The government launched a new initiative in March offering loans for residential rooftop installations, though uptake details are not yet available.