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Manila Bulletin devider Business devider The Stock Market devider Meralco's MGen secures EPC contracts for Toledo, Cebu BESS project

Meralco's MGen secures EPC contracts for Toledo, Cebu BESS project

Published Sep 18, 2025 03:21 pm
The power generation arm of Manila Electric Co. (Meralco) has secured two engineering, procurement, and construction (EPC) deals to advance a new battery energy storage system (BESS) project in Toledo, Cebu.
In a statement on Thursday, Meralco PowerGen Corp. (MGen) announced it has signed an EPC contract with Contemporary Amperex Technology Co., Limited (CATL) and SUMEC Complete Equipment and Engineering Co., Ltd. (SUMEC) for the 49-megawatt (MW) Toledo BESS project.
Construction and installation are set to begin this month. The first phase of the project, delivering 25 MW, is expected to be completed by the second quarter of next year. The remaining capacity is slated for completion by 2027, pending regulatory approvals.
According to MGen, the project will help provide a more reliable and balanced power supply for the Visayas grid.
Under the partnership, CATL will provide its advanced battery technologies, while SUMEC will handle the project's execution to ensure it stays on schedule.
MGen President and CEO Emmanuel Rubio said the collaboration is an important step in supporting the country's energy goals.
“Our signing marks another important step in our efforts to strengthen the country’s energy system,” Rubio said. “With CATL and SUMEC as our partners, the Toledo BESS project will take shape with the benefit of proven expertise and world-class technology.”
In a separate interview, Rubio added that the project could also help lower reserve market prices.
“It has to go down,” he explained. “So, with that initial capacity, we expect to bring down the cost of the reserves... We just want to make sure that the reserve market is actually sustainable.”
CATL Executive President Zhu Wei lauded the partnership, noting that both companies play significant roles in their countries' energy industries.
“Together with forward-thinking partners, we are ready to shape and strengthen a robust green energy system in the Philippines and Southeast Asia,” Wei said.
Lennon Zong, General Manager of SUMEC Philippines, emphasized the project's role in enhancing grid stability.
"By integrating advanced storage technology, we are not only enhancing grid stability but also ensuring that renewable energy can be supplied reliably, day and night," Zong said. "This step is crucial for reducing carbon emissions and building a resilient energy future for this nation."

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Manila Electric Co. (Meralco) MGen Renewable Energy Inc. (MGreen)
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