Aboitiz Power Corp. said it will decommission at the end of March its 44.640 megaWatt Naga oil-fired power plant and its 0.440 MW Black Start diesel engine generating unit in Naga City, Cebu. The decommissioning will be undertaken through its subsidiary Therma Power-Visayas, Inc.
The decision to decommission the power plants comes after extensive operational and technical challenges due to the aging diesel engines.
The Department of Energy issued a Letter of Confirmation to Therma Power, clearing the way for the decommissioning process. In compliance with the DOE’s Implementing Guidelines, TPVI will notify relevant bodies, including the Independent Electricity Market Operator of the Philippines, the National Grid Corp. of the Philippines, and the Energy Regulatory Commission, of the change.
Therma Power acquired the Naga Power Plant Complex in 2018 from Salcon Power Corp. Since then, the subsidiary has invested in substantial rehabilitation, operation, and maintenance efforts. Despite these efforts, the plant’s advanced age and technical issues led to the decision to decommission.
This development reflects Aboitiz Power’s ongoing commitment to optimizing its generation portfolio, ensuring both efficiency and sustainability in the long term.
