Iloilo city: The scheduled resumption of operations of Panay Energy Development Corporation's (PEDC) Unit 3 generating unit, with a capacity of 150 megawatts, on Wednesday is expected to improve conditions in the Visayas grid. The Visayas grid has been placed under yellow alert multiple times since May 12 due to the forced outages of generating units from several major coal-fired power plants.
According to Philippines News Agency, aside from PEDC Unit 3, the affected generating facilities include Units 1 and 2 of Therma Visayas Inc. (TVI) and Unit 1 of KEPCO SPC Power Corp. (KSPC). Earlier in the day, the National Grid Corporation of the Philippines mentioned that the yellow alert status in the Visayas grid would be in effect from 3 p.m. to 9 p.m., as the available capacity of around 2,550 MW is insufficient to meet contingency requirements while peak demand is projected to reach 2,478 MW.
It was reported that 10 power plants in the Visayas have been on forced outage this month alone, with eight outages dating back to May, one since March 2026, three since 2025, two since 2024, two since 2023, and one since 2021. Additionally, 12 power plants are operating at derated capacities, bringing the total unavailable capacity in the grid to around 984.8 MW.
Amid this situation, the Department of Energy (DOE), in a news release on Wednesday, stated that conditions are expected to improve once PEDC Unit 3 returns to normal operations. Energy Undersecretary Mario Marasigan noted that the restoration activities currently underway are already yielding positive results, including a reduction in the number of yellow alert hours and a decrease in the magnitude of supply deficits experienced in the grid. He also mentioned that KSPC Unit 1 is expected to return to normal operations by June 19.
Marasigan added that while restoration efforts are ongoing for the generating units of several major coal-fired power plants in the Visayas, other measures are also being implemented to boost capacity. The DOE, together with several energy sector agencies, is fast-tracking the implementation of short- and medium-term measures that will provide approximately 260 MW of additional capacity to the Visayas grid, enough to supply around 1.25 million households. Among these measures are the strategic deployment of around 170 MW of Battery Energy Storage Systems in Cebu, Negros, and Panay to provide both energy and ancillary services; the installation of a 20-MW modular diesel generating set; and the possible transfer of a power barge from Metro Manila to Panay Island.
Long-term measures include the construction of two additional power facilities: Therma Visayas Unit 3 and the proposed Unit 2 development of Palm Concepcion Power Corporation. Energy Secretary Sharon Garin stated that the ongoing restoration of generating units on forced outage, along with short-, medium-, and long-term programs to boost capacity in the Visayas grid, is aimed at ensuring the availability of reliable power supply in the region. "The anticipated return of PEDC Unit 3 by 03 July, combined with the additional capacity interventions being pursued by the government, will substantially strengthen the region's power supply and help bring an end to the recurring yellow and red alerts that have affected consumers since May," she said.