A significant shift in the Philippine power landscape is nearing completion as AboitizPower anticipates finalizing the 36-billion peso acquisition of the 797-megawatt Caliraya-Botocan-Kalayaan (CBK) hydroelectric power plant by year’s end.
The deal, currently under review by the Philippine Competition Commission, hinges on a financial close expected in November or early December. This acquisition promises to immediately contribute to AboitizPower’s earnings, according to company officials.
The winning bid came from Thunder Consortium, a powerful alliance of Aboitiz Renewables, Sumitomo Corp., and Electric Power Development Co., with Aboitiz Renewables holding the majority 64% stake.
The CBK complex is a vital energy resource, encompassing the Caliraya, Botocan, and the substantial Kalayaan I and II pumped-storage plants, all strategically located in Laguna province. These facilities operate under a 25-year agreement with the National Power Corp.
State-run PSALM anticipates a full handover of the CBK facility by February 2026, marking a pivotal moment in the nation’s energy infrastructure. This transfer will signify a seamless integration into AboitizPower’s portfolio.
Beyond the CBK acquisition, AboitizPower is forging deeper ties with Sumitomo, planning a $220-million investment for a 25% stake in Sumitomo’s 1,320-megawatt coal-fired power plant in Vietnam. This represents the company’s first major international venture.
This expansion into Vietnam isn’t a one-off; AboitizPower envisions further collaboration with Sumitomo, exploring opportunities both within Vietnam and in other global markets. The partnership is seen as a cornerstone of future growth.
Currently, AboitizPower boasts a net sellable capacity of 5,284 MW, a blend of 1,187 MW from renewable sources and 4,097 MW from thermal plants. This positions them as a leading force in the Philippine energy sector.
Looking ahead, AboitizPower has ambitious plans to increase its total capacity to 9.2 GW by 2030, aiming for an equal 50:50 split between renewable and thermal energy sources. This demonstrates a commitment to a diversified and sustainable energy future.
As of July, AboitizPower commands a substantial 23.86% market share within the national grid, solidifying its position as the Philippines’ foremost power producer. This dominance underscores its critical role in powering the nation.
