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Manila Bulletin devider Philippines devider Visayas devider Cebu's energy needs mount as its economy grows - Baricuatro

Cebu's energy needs mount as its economy grows - Baricuatro

Published Aug 25, 2026 04:31 pm
Cebu Gov. Pamela Baricuatro speaks during the recent launching of a battery energy storage system in Naga City, Cebu.(Contributed photo)
Cebu Gov. Pamela Baricuatro speaks during the recent launching of a battery energy storage system in Naga City, Cebu.(Contributed photo)
CEBU CITY–As Cebu’s economy expands, its power demand will also rise.
Cebu Gov. Pamela Baricuatro admitted that the province needs a more reliable power supply as Cebu’s expanding economy is putting greater pressure on a power system already facing tighter supply and transmission constraints.
“One of our biggest concerns today is power stability,” Baricuatro said. “In recent months, Cebu has experienced several yellow alerts, reminding us that as our economy
grows and the demand for electricity continues to increase, we must also strengthen the systems that keep our homes, businesses, hospitals, schools, and industries running.”
The issue on power supply comes as Central Visayas remained the largest regional economy outside Metro Manila.
In 2025, Region 7 posted 3.7-percent growth and a gross regional domestic product of P1.32 trillion.
The growth came amid trade pressures, destructive typhoons, a major earthquake and other disruptions.
It shows a region pushing forward, but also one whose next stage of growth will depend on infrastructure that can absorb pressure and sustain momentum.
In Cebu, reliable power is no longer only a utility concern but is also a competitiveness issue as its industries, businesses, homes and workplaces, hospitals, schools, water systems, transport networks and digital services all depend on a grid that must operate every hour of every day.
Battery energy storage systems, or BESS, have become one of the clearest signs that Cebu’s reliability response is moving from planning to delivery.
In Naga City, a 60-megawatt battery energy storage project broke ground on July 1. Led by Aboitiz Power Corp., the project is designed to help strengthen grid reliability and support growing energy demand in the Visayas.
At the groundbreaking, Baricuatro framed the project against the province’s broader power stability concerns.
AboitizPower Transition Business Group President and Chief Executive Officer Celso Caballero III described the project as part of a wider transformation in the energy
system.
“Naga BESS represents transformation in action,” Caballero said. “It reflects our efforts to strengthen the energy system by investing in people, infrastructure, and technology to enhance the flexibility, resilience, and reliability of the grid.”
Other storage projects are also moving. In Toledo City, Meralco PowerGen Corp. energized the first phase of its Toledo BESS project in May, with 25 MW and 56.44
megawatt-hours of capacity. The facility can store electricity from renewable and conventional sources and discharge power during periods of high demand.
Meralco PowerGen Corp. has also energized the first phase of its Toledo battery project, with 25 MW of capacity and 56.44 megawatt-hours of storage. The facility can store electricity from renewable and conventional sources and release it during periods of high demand.
Officials, however, believed that batteries alone cannot solve Cebu’s power constraints.
Storage needs electricity to charge, while new generation requires adequate transmission infrastructure to deliver power to consumers. Without those links, projects can remain available on paper without materially improving reliability.
The Visayas has a growing pipeline of renewable energy projects. Department of Energy (DOE) data cited by the Philippine Information Agency showed 2,179.47 MW of committed renewable capacity in the region as of May, including biomass, geothermal, hydropower, solar and wind.
Committed energy-storage capacity stood at 419.9 MW, including battery and hybrid projects, according to the same data.
Transmission remains a critical piece of the equation.
The National Grid Corp. of the Philippines (NGCP) is building the Cebu-Lapu-Lapu 230-kilovolt transmission line and the Lapu-Lapu 230-kV substation to support Metro Cebu and Mactan Island and accommodate additional renewable capacity.
Baricuatro has announced plans for a Provincial Energy Master Plan that will bring together national energy policy, local priorities and private-sector investments. The plan aims to make Cebu “energy-secure, climate-resilient and future-ready.”
Mandaue Chamber of Commerce and Industry (MCCI) president Barbara Gothong-Tan said for Cebu, the objective is not simply to prevent the next yellow alert.
A power system capable of keeping pace with economic growth must be built, Gothong-Tan said.

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