A pivotal moment arrived for the Philippines’ energy future as the 797-megawatt Caliraya-Botocan-Kalayaan hydroelectric power plant complex officially transitioned into private hands. The sprawling complex, nestled in the province of Laguna, now belongs to a consortium spearheaded by Aboitiz Renewables, marking a significant shift in the nation’s power landscape.
The transfer culminated after a competitive bidding process overseen by the state-run Power Sector Assets and Liabilities Management Corp. (PSALM), with Thunder Consortium emerging victorious with a substantial bid of 36.27 billion pesos. This consortium isn’t solely Filipino; it includes the global reach of Japanese corporations Sumitomo Corp. and Electric Power Development Co., alongside Aboitiz Renewables’ commanding 64% stake.
President Ferdinand R. Marcos, Jr. presided over the ceremonial handover, a symbolic gesture underscoring the importance of this transition. The event was attended by key figures including the Japanese Ambassador to the Philippines, Endo Kazuya, and a host of Philippine government officials, all witnessing the dawn of a new era for the power plant.
In his address, President Marcos articulated a vision for a more robust and future-proof energy system. He emphasized that the handover wasn’t merely a change in ownership, but a “deliberate step toward an energy system that is steadier in operations, smarter in design, and ready for the future.”
Sabin M. Aboitiz, President and CEO of Aboitiz Equity Ventures and Chairman of AboitizPower, affirmed the consortium’s readiness to operate the facility and bolster the country’s energy security. He highlighted the plant’s unique ability to provide crucial flexibility and stability to the grid.
The CBK plant isn’t just another power source; it’s a versatile asset capable of managing peak demand, providing essential reserves, and seamlessly integrating burgeoning renewable energy sources like solar and wind. Its importance will only amplify as the Philippines continues to embrace a greener energy mix.
What sets CBK apart is its utilization of three distinct hydropower technologies: pumped-storage, impoundment, and run-of-river systems. This diverse approach ensures a reliable and adaptable energy supply, functioning as a large-scale energy storage solution alongside traditional power generation.
This privatization is also a strategic move for the government, injecting vital fiscal resources into the national economy through the sale of a key power asset. It represents a continued effort to modernize and optimize the nation’s power sector.
For Aboitiz Renewables, the acquisition of CBK represents a significant expansion of its hydropower portfolio and a valuable addition of a large-scale pumped-storage asset. This strengthens their position as a leading force in the renewable energy sector.
AboitizPower currently holds the largest market share in the national grid, commanding 23.86% of the power produced as of July 2025, according to the Energy Regulatory Commission. This acquisition further solidifies their dominance and commitment to powering the Philippines.
