MGEN outlines responsible energy transition with solar, LNG

Meralco PowerGen Corp. (MGEN) President and CEO Emmanuel V. Rubio urged a balanced and realistic approach to the Philippines’ energy transition, stressing that it must be done “responsibly” to ensure security, affordability, and sustainability.

Speaking at the “Building a Sustainable Future Through Just Energy Transition” forum held Aug. 18 at the Makati Shangri-La, organized by SGV Knowledge Institute and powered by SGV Sustainability, Rubio said the country cannot afford a sudden shift given rising electricity demand, dependence on imported fuels, and the need for large-scale infrastructure upgrades.

“It is not only about adding new technologies. It is about making sure that the energy transition is done responsibly—that we meet the country’s energy needs today, manage the transition in the coming years, and build the foundation of the future,” Rubio said.

Electricity demand in the Philippines is projected to double by 2040 due to economic growth and urbanization, according to Rubio.

Currently, coal supplies about 34 percent of power generation, while oil and natural gas make up a significant portion, most of which are imported.

The Philippines is among the top geothermal producers worldwide, but renewable energy still falls short of government targets of 35 percent by 2030 and 50 percent by 2040.

Rubio said meeting these targets requires more than new projects, calling for grid modernization, streamlined permitting, better financing access, and large-scale storage.

MGEN’s strategy, he explained, is anchored on three business arms.

Through MGEN Thermal, the company will continue to run high-efficiency, low-emissions baseload plants to keep supply stable and affordable.

Through MGEN Natural Gas, it will expand liquefied natural gas (LNG) facilities as a transition fuel to cut emissions compared to coal while supporting renewable growth.

Through MGEN Renewables, the company is accelerating investments in solar and battery energy storage systems.

One flagship project, MTerra Solar in Bulacan and Nueva Ecija, is set to become the world’s largest integrated solar and battery storage development when completed in 2026.

The facility will deliver 3,500 megawatts of solar capacity and 4,500 megawatt-hours of storage, enough to power 2.4 million households while reducing carbon emissions by up to 4.3 million tons annually.

On LNG, Rubio cited the LNGPH terminal, which supplies about 18 percent of Luzon’s electricity demand, as crucial in adding flexibility to the grid and enabling more renewables.

He added that MGEN anchors its initiatives on four sustainability pillars — People, Power, Planet, and Prosperity — through employee training, portfolio diversification, environmental safeguards, and community investments.

“In June alone, over 47,000 beneficiaries were supported through Brigada Eskwela of MGEN. Beyond this, we also invest in school-stating programs, partnerships with local organizations, and today we have more than 11,000 people working in Bulacan and Mariveles,” Rubio said.

Rubio concluded by acknowledging the challenges but affirmed MGEN’s role in the transition.

“At MGEN, we know the energy transition is not easy, but it is necessary. And we take on the responsibility to do it right,” he said.