AboitizPower Pushes For Energy Security

Aboitiz Power Corporation (AboitizPower), one of the Philippines' largest power producers, emphasizes the need for long-term planning and economies of scale to meet the country’s baseload electricity requirements and enhance energy security.

At AmCham's 7th Annual Energy Forum, AboitizPower Thermal Group Chief Engineering & Projects Officer Don Paulino (2nd from left) highlights the crucial role of the non-renewable energy sector in ensuring energy security as the Philippines transitions to more variable renewable sources. | Photo: AboitizPower

At the 7th Annual Energy Forum hosted by the American Chamber of Commerce of the Philippines, AboitizPower Thermal Group Chief Engineering and Projects Officer Don Paulino highlighted that scaling up power plant construction is key to lowering costs and ensuring stable energy supply.

"The Philippines needs to determine its long-term energy needs in terms of megawatts and the portfolio mix required," Paulino said.

He further explained that economies of scale in constructing power plants, such as coal or nuclear facilities, are crucial for reducing overall costs and increasing efficiency.

"We leverage planning and economies of scale to maximize value, optimize supply chains, and drive down the cost of building baseload power plants," Paulino added.

AboitizPower's strategic approach aligns with the government's goals for a more sustainable energy mix.

The Philippine Energy Plan 2023-2050 projects a 5.19% annual growth in electricity demand, making the role of reliable baseload power more critical.

While AboitizPower continues its efforts to grow its renewable energy portfolio to 50%, the company also stresses the need for a stable and affordable baseload to support the intermittency of renewables.

In addition, liquefied natural gas (LNG) is being explored as a flexible option to support grid stability, addressing the challenges posed by variable renewable energy sources like solar and wind.

The Department of Energy's strategic framework also outlines integrating 1,200 megawatts of nuclear capacity by 2032, with the potential to expand to 4,800 megawatts by 2050.

Paulino emphasized the need for a holistic approach to energy security. "We need to ensure that the existing baseload infrastructure operates efficiently while we wait for new technologies," he said.

AboitizPower is actively expanding its renewable energy portfolio, with over 1,000 megawatts of disclosed projects, including solar, hydro, geothermal, wind, and energy storage systems.

The company aims to increase its renewable energy capacity to 4,600 megawatts, contributing significantly to the Philippines’ goal of a more sustainable and reliable energy future.