THE expansion of the Therma Visayas Inc. (TVI) power facility is progressing as planned, with preparations for construction currently underway, a top official of Aboitiz Power (AP) said.
TVI is expanding its coal-fired power plant in Toledo City, Cebu. The 150-megawatt (MW) TVI 3 is slated for completion in 2027, according to previous reports. TVI currently operates two units with 170 MW capacity each.
In a media briefing on Monday, April 28, 2025, AP president and chief executive officer Danel Aboitiz said the TVI expansion is expected to bolster the power supply in Cebu and support the region’s sustained economic momentum.
“Central Visayas continues to be one of the fastest-growing regions in the country, posting a 7.3 percent growth rate compared to the national average of 5.7 percent,” Aboitiz noted. “Cebu, in particular, is experiencing rising energy demand but faces challenges in expanding renewable capacity due to its mountainous terrain and limited available space.”
Aboitiz said the additional baseload capacity from the TVI expansion is seen as a timely solution to support the province’s energy needs, especially as it addresses gaps in the region’s baseload supply.
He said more specific details on the project’s timeline and budget adherence will be disclosed by year-end once further progress has been made.
TVI had already secured permits for the project even before the Department of Energy declared a moratorium on new coal-fired power plants in October 2020 during the Duterte administration. The moratorium remains in effect at present.
Moreover, AP has been allotted the lion’s share of Aboitiz Equity Ventures’ P105 billion capital expenditure for 2025 to finance its renewable energy pipeline and to support its distribution business.
Aboitiz reported that AP’s power generation segment remains the company’s largest contributor to earnings, accounting for 80 percent of its Ebitda for 2024, solidifying its role as a key growth driver.
Distribution and retail electricity businesses followed, contributing 12 percent and four percent of Ebitda, respectively.
Volume sales in its distribution utilities segment grew by eight percent year-on-year, with robust demand from commercial and industrial customers. Notably, residential sales posted a 13 percent increase, reflecting broader consumption growth.
Aboitiz emphasized the company’s ongoing focus on expanding and diversifying its generation portfolio, particularly through a growing pipeline of renewable energy projects, alongside strategic mergers and acquisitions.
“We are also pursuing organic growth within our distribution utilities and maintaining a leading position in the retail electricity supply market,” Aboitiz said.
He noted that its continued expansion across key segments supports the Philippines’ broader economic momentum, as the country remains among the fastest-growing economies in the region. / KOC