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A series of yellow alerts across the Philippines’ major power grids has renewed calls for a structural overhaul of the country’s energy system, with analysts warning that continued dependence on large, centralized power plants is leaving the grid vulnerable to disruptions.
The Institute for Climate and Sustainable Cities (ICSC) said recent grid disturbances highlight a persistent weakness in the country’s baseload-heavy energy architecture, where a handful of large facilities supply a significant share of electricity demand.
Widespread Outages Strain Luzon Grid
Data from the National Grid Corporation of the Philippines (NGCP) showed that a yellow alert was raised in the Luzon grid after 35 power plants went on forced outage, while 14 others operated at reduced capacity. This resulted in 5,137.2 megawatts (MW) of unavailable capacity, tightening reserves during peak demand hours.
Available supply between 4 p.m. and 10 p.m. reached 12,223 MW, barely exceeding demand, which climbed to 11,966 MW.
Among the key disruptions were simultaneous unplanned outages at liquefied natural gas (LNG) facilities — Excellent Energy Resources Inc. (EERI) Units 1, 2, and 3 and the Ilijan Block A and B plants — removing a combined 2,462 MW from the grid. These outages occurred alongside the scheduled maintenance shutdown of the Magat hydropower complex.
While the affected LNG units were restored within hours, ICSC said the incident illustrates how even short-term disruptions at major plants can rapidly erode system reserves.
Heavy Reliance On Large Plants
The Department of Energy (DOE) said oil-fired and natural gas plants were dispatched to stabilize the grid following the outages, including facilities in Limay, Navotas, Bulacan, and Bauang, as well as gas plants operated by Prime CoreGen.
Prime CoreGen’s Sta. Rita, San Gabriel, and Avion plants ramped up to about 95 percent capacity, while coal-fired plants such as GNPD, Pagbilao, and OPPL also increased output to meet demand.
Despite these interventions, ICSC emphasized that the concentration of generation capacity in a few large plants creates systemic vulnerabilities.
“This underscores how closely overall system conditions are tied to the performance and location of major generating units,” the group said, noting that outages in key facilities can have cascading effects across the grid.
The think tank also pointed to derated operations at coal plants such as Sual Units 1 and 2, which were running at less than half of their dependable capacity, further constraining supply during the incident.
Effect On Visayas Grid
The impact of Luzon’s supply shortfall extended to the Visayas grid, which also experienced a yellow alert on the same day. ICSC explained that the Visayas system remains dependent on high-voltage direct current (HVDC) imports from Luzon and Mindanao and was already operating on net negative reserves when the disruptions occurred.
“The Visayas grid felt the ripple effect of outages and derations in Luzon—its primary source of imported power,” the group said, warning that interdependence between grids can amplify disturbances rather than absorb them.
The incidents also highlighted the growing role—and risks—of LNG in the country’s power mix. Facilities such as Ilijan and EERI, operated under an integrated LNG complex in Batangas, account for a significant portion of Luzon’s baseload supply.
While these plants are critical in meeting demand, ICSC cautioned that heavy reliance on imported LNG exposes the country to global fuel price volatility and geopolitical risks.
“Heavy reliance on imported LNG continues to tie domestic electricity prices to global fuel price shocks and geopolitical disruptions,” the group said, contrasting this with renewable energy sources that have no fuel costs and can help stabilize prices in the Wholesale Electricity Spot Market (WESM).
Push For A Decentralized Energy System
To address recurring grid alerts, ICSC is urging a transition toward a more decentralized, diversified, and flexible energy system, one that minimizes single points of failure. Central to this shift is the expansion of indigenous renewable energy sources such as geothermal, hydropower, solar, and wind, supported by energy storage systems and modern grid management technologies.
“A system built on diversified, distributed, and flexible resources minimizes single points of failure and provides a more stable foundation for affordable, reliable, and secure electricity,” the group said.
ICSC added that the Philippines’ archipelagic geography and exposure to extreme weather make geographically distributed generation essential to improving resilience. Decentralized systems can enhance local reliability and reduce the risk of widespread outages caused by plant failures or natural disasters.
The think tank also emphasized the role of fast-ramping technologies and improved grid operations in balancing supply and demand fluctuations. While recent outages were resolved without escalating into red alerts, analysts warn that similar incidents could recur unless structural changes are implemented.
The latest disruptions, ICSC said, should serve as a turning point for policymakers and industry stakeholders to rethink the country’s energy strategy. Shifting away from a baseload-centric model toward a more resilient and adaptive system is key.
Source:
https://mb.com.ph/2026/04/20/icsc-philippines-needs-more-local-power-to-avoid-blackouts
https://tribune.net.ph/2026/04/18/yellow-alert-exposes-vulnerability-of-power-system
