The Department of Energy is moving to stabilize the Visayas power supply after the grid returned to yellow and red alerts this week, just days after without any warnings. On Tuesday, the National Grid Corporation of the Philippines raised yellow alert flags for afternoon and evening hours and a red alert during peak demand, with available capacity falling short of the 2,550‑megawatt requirement. Seventeen plants are on forced outage and 18 others run at reduced output, removing nearly 958 megawatts from the system. Energy Secretary Sharon Garin said repeated plant outages—including new trouble at facilities in Iloilo and Cebu—have tightened supply, and the government is pushing for all planned power barges to arrive within the year or early 2027. She noted supply remains constrained because new generation capacity was not built over recent years, and safeguards to ensure reliable plant operation are still being put in place.
Alongside supply fixes, the DOE is revising rules for its 2026 Philippine Conventional Energy Contracting Program coal resource bidding. Last week, the agency paused bidding for three key areas—Semirara Island in Antique, sites in Cagayan, and Isabela—to update evaluation standards. Revised guidelines will incorporate stakeholder feedback and may involve the Department of Environment and Natural Resources, with new rules to be announced soon. Garin said the reset protects state‑owned coal reserves and ensures maximum national benefit from contracts. The move comes as Semirara Mining and Power Corporation, which produces over 93 percent of the country’s local coal, faces an expiring contract in July 2027 and has cut its 2026 production target, leading to a workforce reduction affecting 462 employees. The Philippines relies heavily on imported coal, with local output meeting less than a third of total consumption in 2024.
