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Brix Lelis - The Philippine Star
February 10, 2025 | 12:00am
MANILA, Philippines — The planned multimillion-dollar rehabilitation of the Agus-Pulangi hydropower complex in Mindanao is finally within reach amid the potential extension of PSALM Corp.’s corporate lifespan.
In a recent interview, Energy Secretary Raphael Lotilla said the government “will move forward” with the overhaul of decades-old facilities, a step aimed at restoring around 40 percent of their full capacity.
Situated around Lake Lanao, the Agus-Pulangi complex consists of seven hydropower plants with a total installed capacity of at least 1,000 megawatts (MW).
However, only around 600 to 700 MW is currently operational due to the aging infrastructure.
“If we finish the rehabilitation of the Agus-Pulangi plants, this will restore an additional 400 MW of hydropower in Mindanao, which is very significant,” Lotilla said.
He also welcomed lawmakers’ approval of the proposed measure to extend the corporate life of PSALM or the Power Sector Assets and Liabilities Management for 10 years from the expiration of its original term in June 2026.
“What I welcome very much is the approval by both houses of Congress… What has eluded us for more than a decade now is the rehabilitation of Agus-Pulangi because there is no counterparty. So that’s good news,” he said.
Created under the Electric Power Industry Reform Act, PSALM is mandated to manage the sale and privatization of the government’s existing power generation assets, independent power producer contracts, real estate and all other disposable assets.
Apart from the rehabilitation of the Agus-Pulangi complex, Lotilla said the “possibility is now open for building Agus-3 plant, which has a potential of 225 MW.”
“So let’s hope that we will be able to realize these future projects, which will be down to the market of not only Mindanao but also the country,” Lotilla said.
