The Independent Electricity Market Operator of the Philippines (IEMOP) expressed optimism about the country's power situation in 2025, stating that the chances of power outages are low.
In a briefing on Tuesday, Dec. 17, Isidro Cacho Jr., IEMOP head of trading operations, said that power strains may be reduced next year if unplanned outages are avoided.
"We are not expecting red and yellow alerts, meaning in terms of supply levels, we're projecting that we'll be okay… No brownouts, hopefully no blackouts. Because last year, we were surprised [by the situation] in Panay," he told reporters.
"The good news is that major projects like the Cebu-Negros-Panay 3 (CNP) project were finished. This adds more than 400 megawatts (MW) to the grid, and the 230 kV submarine cable connects Cebu and Negros, significantly increasing capacity,” he added.
In April, the National Grid Corporation of the Philippines (NGCP) completed the CNP backbone project, which includes 670 new transmission towers, 442 circuit kilometers (km) of overhead lines, 10 new substations, and 98.9 circuit km of submarine cables.
"I hope there’s no untoward or unplanned outages, particularly in the Island of Panay [because] I think we’re looking good especially this summer,” Cacho said, citing low chances for red and yellow alerts compared to this year.
He also emphasized the importance of stable power during the upcoming election season, with the 2025 general election scheduled for May 12.
"Everyone in the power industry will be mindful next year since it's an election year. They are also preparing for that," he added.
Cacho noted that maintenance programs to assess power quality were conducted earlier this year, minimizing the need for maintenance during the summer months.
He also said that the entire electric power industry, led by the Department of Energy (DOE), is working together to ensure sufficient power during the election.
WESM rates decline across island groups
Wholesale electricity spot market (WESM) rates have recently decreased due to cooler weather and increased supply.
"Although we have outages, planned and unplanned, the demand is not at all affected by the unplanned outages," Cacho said.
According to IEMOP, the average price for December billing was P3.99 per kilowatt-hour (kWh), 9.7 percent lower than November's P4.42 per kWh. This also represents a 10 percent decrease compared to last year.
Average supply climbed 2.9 percent to 20,064 megawatts (MW), with demand slightly increasing to 13,692 MW from 13,659 MW.
Across the major island groups, Luzon's average WESM rate decreased to P3.79 per kWh, 10.6 percent lower than last month, while its average supply increased by 4 percent to 14,191 MW.
Visayas also saw a price reduction in December to P4.39 per kWh, with supply increasing by 2.3 percent to 2,449 MW.
Mindanao's average price dropped by 6.2 percent to P4.55 per kWh, despite a slight decrease in supply.