SUMMARY
The NGCP placed the Visayas grid under Red Alert on May 13, 2026, due to forced outages at three major plants and 12 units remaining offline since March.
Business leaders Regan Rex King and Barbara Gothong-Tan warned that repeated power instability increases operating costs, damages equipment, and threatens the region's competitiveness for international investors.
Despite the energy shortage, the NGCP announced an 8.8% decrease in transmission charges for May, bringing the average rate down to P1.5983 per kilowatt-hour.
THE Visayas region is facing a serious energy crunch after the National Grid Corp. of the Philippines (NGCP) placed the power grid under a "Red Alert" this Wednesday, May 13, 2026. Business groups in Cebu are warning that these repeated power scares are hurting local companies, driving up costs, and making the region less attractive to international investors.
A Red Alert is the highest level of warning issued when there isn't enough electricity to meet the needs of homes and businesses. Because the supply is so low, the NGCP warned that "Manual Load Dropping"—or rotating power outages—might be necessary to prevent the entire grid from collapsing.
The alert was active from 3 p.m. to 8 p.m., followed by a Yellow Alert until 9 p.m. This follows a similar Yellow Alert that occurred just one day earlier on May 12.
The NGCP reported that several major power plants are currently offline or struggling:
Forced Outages: Three large units (TVI Units 1 & 2 and PEDC Unit 3) unexpectedly stopped working.
Long-term Issues: 12 power plants have been offline since March 2026, and 15 others are running at reduced capacity.
High Demand: Hotter weather and rising electricity use have pushed the grid to its limit, with only a tiny margin of extra power available.
Areas that may face brownouts include parts of Cebu, Mactan, Negros, Iloilo, Leyte, Samar, Aklan, Antique, Bohol, and Capiz.
Cebu’s business community says they cannot afford these constant disruptions. Regan Rex King, president of the Cebu Chamber of Commerce and Industry, called the situation a "growing concern."
"For many businesses—especially manufacturers, hospitals, and small shops—even short periods of power instability can lead to productivity losses and increased operating costs," King said. He warned that if the power stays unreliable, investors might start looking elsewhere to put their money.
Barbara “Bambi” Gothong-Tan, president of the Mandaue Chamber of Commerce and Industry, pointed out that some factories spend 40% of their budget on electricity alone. She noted that outages can damage expensive equipment and make the Philippines less competitive than neighboring Asian countries with cheaper, more stable power.
While the supply is shaky, there was one piece of good news for your wallet. The NGCP announced that transmission charges on electricity bills will actually go down this May.
The average rate dropped by about 8.8%, falling to P1.5983 per kilowatt-hour. This is due to lower costs for "wheeling" (moving the power) and "ancillary services" (the reserve power used to keep the grid stable).
Business leaders are now calling for a stronger long-term plan. They are asking for more investment in new power plants, better transmission lines, and more renewable energy to make sure the Visayas doesn't stay in the dark. As the region grows, the pressure is on the government and energy providers to ensure that a "Red Alert" doesn't become the new normal.