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Cebu business leaders demand overhaul of national power grid planning

Matteo Sala Giornalista e analista tecnologico QWERTYmag

Scritto da Matteo Sala

Cebu business leaders demand overhaul of national power grid planning QWERTYmag © www.qwertymag.it
Cebu business leaders demand overhaul of national power grid planning © www.qwertymag.it

Cebu's top business groups want Congress to dig into the country's grid planning. They say constant power alerts and rising electricity prices are putting the region's economy at risk.

Another yellow alert hit the Visayas grid. For Cebu's business leaders, that was the last straw. The Cebu Chamber of Commerce and Industry (CCCI) is now pushing Congress to investigate how the country plans its power transmission. They say unreliable electricity and high prices are hurting Cebu's ability to compete and grow.

The problem keeps repeating. Yellow and red alerts have become routine. On September 23, the grid's weakness was clear. The National Grid Corporation of the Philippines (NGCP) said there was 2,607 MW of available capacity, with peak demand at 2,418 MW. But 12 power plants were down, and 16 more were running below normal. That left no room for error. Big coal plants like TVI 1, PEDC 3, and KSPC 2 stayed offline. Unavailable capacity hit 886.5 MW. Businesses faced production losses and spoiled goods.

Business groups push for government-led transmission planning

The CCCI is not alone. The chamber backs a proposal, also supported by Cebu Energy Rights Advocates, to put national grid planning back under direct government control. Right now, a private concessionaire handles both planning and execution. Critics blame this setup for delays and slow work on key projects that should connect Luzon, Visayas, and Mindanao. In Europe, Italian authorities like MIMIT stress the need for open grid planning and public oversight to keep energy secure and markets fair.

For Cebu's manufacturers, exporters, BPOs, hotels, and retailers, the impact is clear. Every hour without steady power means lost sales and higher costs. The CCCI says any real fix must make sure there's accountability, but also keep investment flowing into the sector. They want faster progress on projects like the Visayas-Mindanao and Mindoro-Panay links. The Department of Energy has already ordered more than 250 MW of battery storage for the Visayas. This matches global moves to modernize grids and make them more resilient.

Transmission alone won't fix Visayas power crunch. A whole-of-industry planning approach is needed, aligning generation, transmission, and distribution under a unified regulatory framework.

NGCP Executive StatementIndustry Operator

The Mandaue Chamber of Commerce and Industry (MCCI) is also speaking up. They are open to a congressional review but want a close look at what the proposal would mean in practice. MCCI's main concern is a strong, long-term plan for expanding, upgrading, and maintaining the grid as demand grows. They say any new rules must put reliable power, economic strength, and sustainable growth at the center.

The technical picture is still bleak. NGCP's latest numbers show a grid pushed to its limits. Outages go back to 2021, and plants running below capacity make things worse. The yellow alert is just a sign of a deeper problem. If nothing changes, business confidence and investment in the region will keep slipping. In Europe, advanced grid management and real-time monitoring are already standard in many countries. Bringing these tools to the Philippines could help cut risks and make operations more transparent.

Cebu is a key hub for trade, tourism, and industry. Business leaders are clear: the current system is not working. If Congress and policymakers do not act soon to overhaul transmission planning and restore reliability, the region could lose its economic edge. Small fixes are not enough. Cebu's business community wants a bold, government-led plan that puts businesses and communities first.

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