Tropical Hut Food Market, Inc., one of the country’s oldest fast-food chains, has partnered with First Gen Group to power 12 of its branches and its head office with geothermal energy—an effort aimed at better managing operating expenses while reducing environmental impact.
The power supply deal was signed by officials from both companies on September 4. Under the agreement, First Gen will deliver a minimum of 750 kilowatts of geothermal power to Tropical Hut, sourced from its Unified Leyte facilities, one of the world’s longest-operating steam fields.
“We’re pleased to partner with First Gen to help us manage our energy costs and help the environment as well by not using electricity from fossil fuels,” said Amelita D. Cauilan, Tropical Hut president and general manager. “This will help us keep serving our customers with the burgers and other classic favorites just as we have done for over 60 years.”
Founded in 1965 as a coffee shop serving hamburgers, Tropical Hut grew its menu over the decades to include spaghetti, fried chicken, and other popular fast-food items. It is part of the Mercury Group of Companies, which also leads Mercury Drug Corporation.
First Gen, the country’s top renewable energy producer, operates 31 hydro, geothermal, solar, and wind facilities nationwide with a total capacity of 1,700 megawatts.
“We are privileged to partner with such an iconic Filipino brand and provide them with indigenous geothermal power to support their operations,” said Carlo Vega, First Gen chief customer engagement officer. “We look forward to a fruitful collaboration with Tropical Hut.”
This partnership marks a strategic move for the 60-year-old food chain to stabilize and lower operational costs amid fluctuating energy prices, while aligning with sustainable business practices. It also highlights growing demand for renewable energy from established Philippine enterprises—opening new market opportunities for First Gen as it expands its clean energy client base. The deal further underscores the reliability and competitiveness of local geothermal resources compared to conventional fossil fuel power in the country’s commercial sector.
