.png){kind=logo}
1 week ago
14
Upgrade to High-Speed Internet for only ₱1499/month!
Enjoy up to 100 Mbps fiber broadband, perfect for browsing, streaming, and gaming.
Visit Suniway.ph to learn
MANILA, Philippines — AboitizPower Corp. has rejected claims that a coal expansion project in Cebu violated the government’s coal moratorium or reflected institutional corruption, saying such assertions are “factually incorrect” and misleading.
In a letter dated December 16 addressed to Philstar.com, the company said it was responding to the November 19 article titled “‘We’re just counting bodies’: Groups link corruption to recent typhoon deaths,” which cited accusations from church and environmental groups connecting flood-related deaths, corruption, and fossil fuel projects.
“While the Philippines grapples with the impacts of climate change, it is crucial that public discourse is grounded in facts, especially concerning critical national infrastructure like the power sector,” AboitizPower said in the letter.
The groups cited in the report pointed to the approval of a 150-megawatt coal expansion in Toledo City, Cebu, under AboitizPower subsidiary Therma Visayas Inc. (TVI), as evidence that the coal moratorium had been loosened.
AboitizPower said this characterization was wrong.
“The TVI expansion… was classified as a ‘Committed Project’—defined by the DOE as an existing power plant with firm expansion plans—long before the moratorium was put into effect,” the company said.
It stressed that the Department of Energy’s 2020 coal moratorium “is not a total ban” and applies only to new, uncommitted greenfield projects.
“There is over 1,700 MW of committed coal capacity currently proceeding under the same, consistent pre-existing regulatory framework,” AboitizPower said, citing DOE generation data.
The company added that “the government did not loosen the conditions for coal power plant exemptions,” saying the policy on committed projects has remained unchanged since 2020.
Allegations of institutional corruption
The also quoted groups accusing Energy Secretary Raphael Lotilla of institutional corruption, noting his past role as an independent director of AboitizPower and the Ombudsman case filed against him.
AboitizPower rejected the implication that the TVI project approval reflected favoritism.
“Any implication that this was a favor granted by the current Secretary is chronologically and contextually incorrect,” the company said, stressing that approvals for committed projects are “a technical and administrative exercise governed by rules, not personal discretion.”
It said decisions under Lotilla were based on “national energy security,” adherence to existing policy frameworks, and ensuring a level playing field for all energy players.
Energy security, transition cited
AboitizPower also framed the TVI expansion as part of meeting power demand in the Visayas.
“Honouring these contracts is essential because all ‘committed projects’ are integral components of the Philippine Energy Plan,” the company said, warning that denying projects already in advanced stages could undermine investor confidence and energy stability.
The company said it supports a “balanced energy mix by 2030,” describing coal projects like TVI as “a necessary step to bridge the immediate energy needs of the nation while the robust development of renewable energy projects is successfully scaled up.”
AboitizPower urged caution against “conflating legal regulatory processes with institutional corruption,” saying policy consistency and transparency are critical to energy security.
