The country’s largest electronics industry group is calling for closer coordination between government and the private sector to address recurring power disruptions in the Visayas, warning that unreliable electricity could erode the Philippines’ competitiveness in the global semiconductor supply chain.
The Semiconductor and Electronics Industries in the Philippines Foundation, Inc. (SEIPI) said repeated power outages and rotational load dropping have disrupted operations at several semiconductor and electronics manufacturers in the region, forcing companies to rely on expensive backup generators while still contending with production delays and higher operating costs.
For an industry built on precision and continuous production, even short interruptions can have costly consequences.
SEIPI said semiconductor fabrication and electronics manufacturing require uninterrupted power, as brief outages can compromise product quality, damage highly sensitive equipment and delay deliveries to global customers.
The stakes are high. The semiconductor and electronics sector generated USD49.64 billion in exports in 2025, accounting for 58.81 percent of the Philippines’ total merchandise exports while supporting more than three million direct and indirect jobs.
Rather than assigning blame, SEIPI acknowledged efforts by the Department of Energy, Energy Regulatory Commission, National Grid Corporation of the Philippines, distribution utilities and other stakeholders to stabilize the Visayas grid. The Department of Energy has attributed recent yellow and red alerts to scheduled maintenance, unexpected plant outages and seasonal declines in hydroelectric and biomass generation.
Still, the industry group said more proactive coordination is needed.
It urged power agencies to provide manufacturers with earlier notice whenever rotational load dropping or manual load curtailment becomes necessary, giving factories enough time to activate backup systems, protect sensitive equipment and minimize production losses.
SEIPI also pushed for wider implementation of the Interruptible Load Program, which allows companies with generator sets to temporarily disconnect from the grid during supply shortages and help stabilize the power system.
“Energy security is a shared responsibility,” SEIPI President Dan Lachica said, adding that stronger government-industry collaboration will be critical to sustaining investor confidence as the Philippines competes for new semiconductor and advanced manufacturing investments.
