MGEN to build 49MW battery facility in Cebu

Meralco PowerGen Corporation (MGEN) has announced plans to build a 49-megawatt (MW) Battery Energy Storage System (BESS) in Toledo, Cebu to help stabilize the Visayas grid and support the country’s energy transition.

The project is part of MGEN’s growing push to expand clean and reliable energy infrastructure nationwide, particularly as the Philippines increases its reliance on intermittent renewable energy sources such as wind and solar.

“This project is part of our broader commitment to strengthen the reliability of the grid and accelerate the country’s transition to a cleaner and more sustainable energy future,” said MGEN President and CEO Emmanuel V. Rubio.

“Battery energy storage will be critical in managing variability in supply and demand, particularly as we integrate more renewable energy into the system,” Rubio added.

The facility is designed to provide grid-balancing support by storing power during off-peak hours and discharging it during periods of high demand, maintaining power quality and preventing outages.

This marks MGEN’s second major battery storage initiative, following its MTerra Solar project in Nueva Ecija, which features a 4,500 megawatt-hour (MWh) storage component paired with a 3,500 megawatt-peak (MWp) solar pipeline.

The first 25MW phase of the Toledo BESS is expected to be completed by 2026, with the remaining capacity coming online in 2027.

Battery energy storage systems are considered essential in achieving the Department of Energy’s Renewable Energy Roadmap, which targets a 35 percent renewable energy share in the power mix by 2030 and 50 percent by 2040.

MGEN operates through several subsidiaries: MGreen for renewables, MThermal for coal, and MNatural Gas for its gas ventures.

The company also holds a stake in PacificLight Power in Singapore and SP New Energy Corporation (SPNEC), and in 2025 acquired a 40.2 percent share in an integrated liquefied natural gas (LNG) terminal in Batangas.

As of June 2025, MGEN’s combined net sellable capacity stands at 5,061.3 MW, making it one of the largest power producers in the Philippines.

The Toledo project is expected to contribute significantly to energy reliability in the Visayas, a region that has faced grid constraints due to growing demand and the intermittent nature of renewable energy.