AboitizPower Thermal Group expects a balance between renewable and non-renewable energy to power Cebu and Visayas.

“The direction to have renewable energy is very important, not just from a climate change, but also from a mixed perspective. However, because the sun can only provide power from 10 p.m. to 2 p.m., what happens whenever there is no sun? What happens when there is no wind? For us to be more renewable, we need to be able to complement that with a proper baseload,” said AboitizPower Corporation (AboitizPower) Thermal Group Engineering and Projects Officer Don Paulino.

Base on studies, Cebu and the rest of the Visayas should grow an optimum mix of traditional and renewable energy capacities to ensure power reliability and affordability, considering projected annual increases in electricity demand.

With projections that Cebu and the Visayas will sustain their economic expansion, the Department of Energy (DoE) anticipates that the region’s electricity demand will grow to the point that it will require a big chunk of the available power capacity by 2050, together with Mindanao.

“For the Visayas, we could have... dependable capacity of 3,296 megawatts. That will just be sufficient to provide the demand and the appropriate reserves. That means we will continuously rely on the transfer of energy from Luzon and Mindanao. However, take note that Mindanao is also growing fast,” DoE Assistant Secretary Mario Marasigan during the “Powering Cebu” business forum.

Half of Visayas demand from Cebu

Peak demand in the Visayas is seen to increase from 2,464 megawatts in 2023 to 2,864 megawatts by 2026 and to 10,678 megawatts by 2050, with Cebu expected to demand as much as half.

The DOE pointed out that Cebu serves as the connection hub for the entire Visayas, with electricity imports from Luzon and Mindanao passing through Cebu before it serves the rest of the Visayan islands.

“Luzon sits at a relatively comfortable reserve margin of 300 to 700 megawatts. Similarly, Mindanao has around a 25 percent to 30 percent power reserve margin. If you compare that to Visayas, Visayas is around eight percent. So you can see the stark contrast between the Luzon, Visayas, and Mindanao grids,” Paulino added.

“The power demand for Cebu Year-on-year is exceeding the national average. If we are to even be able to match the phenomenal growth that Cebu is experiencing right now, we would have to be very serious about generating more power capacity,” Cebu Governor Gwendolyn Garcia said.