NEW POWER LOOP: DOE pushes early Mindoro-Panay transmission link

ILOILO CITY — The Department of Energy (DOE) is pushing to fast-track the proposed Mindoro-Panay transmission link to give Panay Island an alternative route for electricity, meet its growing power demand, and ease the worsening supply situation in the Visayas.

Energy Secretary Sharon Garin urged the National Grid Corp. of the Philippines (NGCP) to speed up construction of the link, which she said would strengthen the Visayas grid, improve energy security, and potentially reduce electricity costs.

Garin issued the call on Monday, Sept. 14, shortly after meeting with the Regional Development Council 6 (RDC-6), where she discussed the recurring rotational power interruptions caused by tight electricity supply in the Visayas.

The meeting came two days after NGCP placed the Visayas grid under red alert on Sept. 12, when available capacity stood at 2,109 megawatts (MW) against peak demand of 2,346 MW, a shortfall of 237 MW, with the 150-MW Unit 3 of Panay Energy Development Corp. in Iloilo City expected to remain offline until late October.

Garin also warned on Monday that the region is likely to remain under power supply pressure into 2027 while the government fast-tracks battery energy storage systems and power barges.

The secretary said the proposed Mindoro-Panay connection would create a “loop” for Panay Island’s power supply.

It would establish a new electricity corridor connecting Luzon to the Visayas through Mindoro and Panay, providing an alternative route to the existing Leyte-Luzon interconnection, which also faces transmission constraints.

“We want it. It is best for Panay because we will have a loop. If the other end is too far, we have our own connection to Batangas. That way, we will no longer be at the end of the line where we could run out of power by the time it reaches Panay,” she told Daily Guardian on Monday.

“What we want is a loop so we can get our power from the nearest point in Batangas,” she added.

Batangas is one of the country’s major energy hubs, with power plants generating more than 5,300 MW, according to information cited by the DOE.

The proposed Mindoro-Panay Interconnection Project is included in NGCP’s Transmission Development Plan (TDP) 2024-2050.

The plan identifies it as a 230-kilovolt (kV) inter-island transmission link that will connect the Luzon grid through Mindoro with the Visayas grid via Panay.

The project, however, is scheduled for implementation in the 2041-2050 period, well beyond the immediate time frame for addressing the Visayas’ current power supply problems.

“It increases the power transfer capability of the system as this new transmission corridor accommodates the power generation in Luzon and Visayas, especially power plants that are located within Competitive Renewable Energy Zones,” NGCP said in the TDP.

Garin acknowledged that the project remains a long-term undertaking but said RDC-6 and local government units (LGUs) could help push for earlier implementation.

“What we want is to push for its early completion. It is not impossible. Our RDC, our LGUs, and even the DOE just need to push for it to encourage the NGCP to make the necessary changes and implement it as early as possible,” she said.

The DOE and the Energy Regulatory Commission (ERC) have also moved toward allowing qualified entities other than NGCP to finance and construct certain transmission facilities.

On Jan. 7, 2026, Garin issued a department circular allowing generation companies to finance and construct associated transmission projects to facilitate the timely integration of power projects.

In June 2026, the ERC adopted Resolution No. 18, Series of 2026, establishing implementing rules for point-to-point limited transmission facilities and the financing and construction of transmission projects by entities other than NGCP.

The rules allow qualified entities to finance and construct certain transmission projects identified by the DOE, with the aim of accelerating critical infrastructure needed to connect new power plants and strengthen the transmission network.

Garin explained that the DOE circular would allow a power generator to finance and build the transmission facility needed to connect its plant to the grid if NGCP’s infrastructure is not yet ready.

“For example, if I build a power plant but I cannot connect it because the NGCP is not yet ready to connect my power plant, this will allow those who have power plants and want to connect them, and who are willing to spend for the necessary infrastructure, to finance and construct it,” she said.

Asked whether the Mindoro-Panay project could be pursued under the same financing and construction arrangement, Garin said the proposal would still have to be studied.

“That will still be discussed. There might be legal or technical constraints, but it is possible, maybe through a different approach. I think it could be done, particularly if a power plant is built ahead of the transmission infrastructure toward an off-grid area,” she said.

The DOE secretary stressed that the government is also pursuing other measures to address the immediate power supply problems in the Visayas.

“The Visayas, especially Panay, my home province, is not being forgotten. We have plans to alleviate these problems so that the people who are suffering now can experience fewer power interruptions and, hopefully, eventually none at all,” she said.

Garin, a former AAMBIS-OWA party-list representative from Iloilo, said the long-term goal is for Panay to become self-sufficient in electricity generation.

“We have many plans. Eventually, the objective is for Panay to be self-sufficient as far as energy is concerned. That is really my main objective for Panay — it should no longer need to get power from Luzon, Mindanao, or even Cebu. It should be able to depend on its own power supply,” she said.