The Department of Energy (DoE) sees a boost in solar power supply next year as the Terra Solar Project moves closer to commercial operations, with its first phase expected to deliver 364 megawatts (MW) of new capacity by the first quarter of 2026.

In a statement over the weekend, the agency said Stage 1 of Terra Solar, operated by Terra Solar Philippines Inc., covers 364 MW of the project’s planned 2,500-MW solar capacity with battery energy storage systems (BESS). 

The project has moved closer to operations after the energization and cut-in of its 500-kilovolt (kV) substation on 21 December, along the Nagsaag–San Jose 500 kV Line 2, in coordination with the National Grid Corporation of the Philippines (NGCP). Commercial operations are expected in the first quarter of 2026.

Terra Solar is part of the 200 power generation projects the DoE is pushing to speed up power plant construction over the next three years to strengthen energy security.

956 MW capacity added

The DoE said that as of November, about 956 MW of new power generation capacity had already been added across the Luzon, Visayas and Mindanao grids, supported by 160 MW of new energy storage capacity in Luzon and Visayas.

These new additions came from 14 power plants — 12 renewable energy facilities, one oil-based plant, and one natural gas-fired plant — most of which entered commissioning in the second half of 2025. 

The DoE said these projects help meet peak demand, cut the risk of power shortages, and improve grid flexibility.

To keep projects on track, the DoE said it is closely monitoring power generation and energy storage developments. This includes coordinating with project proponents and NGCP on grid readiness, tracking construction and commissioning milestones, and flagging risks early, such as permitting delays, right-of-way issues, equipment delivery concerns, and site-level challenges.

As Terra Solar Stage 1 moves toward commissioning, the DoE said it will continue working with NGCP and the project proponent to meet grid and safety requirements, while keeping a close watch on the rest of the 200-project pipeline to ensure a reliable power supply.