THE Cebu Electricity Rights Advocates (Cera) has reiterated its call for the Department of Energy (DoE) and private investors to fast-track new power generation and transmission projects as recurring yellow and red alerts highlight tight operating reserves in the Visayas grid.
In a statement on Monday, Aug. 17, 2026, Cera lead convenor Nathaniel Chua said the region needs a combination of new generation capacity, stronger transmission infrastructure, government support and battery energy storage systems (BESS) to improve power reliability, shield consumers from supply constraints and temper volatile generation charges.
“Consumers continue to face high electricity bills as generation costs fluctuate amid supply limitations and transmission constraints,” Cera said.
The group said delays in critical power and transmission projects, limited transmission capacity and disruptions in the movement of electricity between regions could further tighten supply conditions in Cebu and the broader Visayas.
On Aug. 14, the National Grid Corp. of the Philippines (NGCP) said the Visayas Grid had been under yellow and red alerts for 73 consecutive days, primarily due to unplanned generation outages that left available capacity insufficient to meet the required operating margin. Red and yellow alerts continued over the weekend.
Red and yellow alerts
On Aug. 17, NGCP placed the Visayas Grid on red alert from 5 p.m. to 8 p.m. and yellow alert from 4 p.m. to 5 p.m. and 8 p.m. to 9 p.m. Available capacity stood at 2,334 megawatts (MW) against peak demand of 2,413 MW.
NGCP said the red and yellow alerts were due to the unavailability of two large coal plants in the Visayas operated by Therma Visayas, Inc., as well as limited power imports from Mindanao. The limited imports were primarily due to outages at coal plants and high system demand in Mindanao.
A red alert is issued when the available power supply is insufficient to meet consumer demand and the transmission grid’s regulating requirement, while a yellow alert is issued when the operating margin is insufficient to meet the transmission grid’s contingency requirement.
Elevated electricity costs
Cera said distribution utilities such as Visayan Electric Co. have worked with energy regulators to defer certain cost additions and keep residential rates at P14.90 per kilowatt-hour. However, consumers served by Mactan Electric Co. and Cebu electric cooperatives continue to face elevated electricity costs.
The group said addressing long-term power affordability and reliability requires action beyond individual distribution utilities, particularly on transmission constraints involving NGCP.
Delays in major infrastructure projects can limit the movement of available power into Cebu, creating localized supply constraints and potentially raising generation- and transmission-related costs passed on to consumers, Cera said.
It also called for targeted government subsidies and expanded lifeline assistance for vulnerable households facing unexpected increases in electricity costs, particularly in areas affected by supply and transmission constraints.
BESS investments
Chua also emphasized the need to accelerate investments in BESS, which can store electricity for use during periods of high demand, help stabilize grid frequency and provide support during unexpected generation or transmission disruptions.
“These investments should be viewed not only as measures to prevent outages, but as part of a broader strategy to make the power system more flexible and resilient,” Chua said.
Cera also encouraged consumers and businesses to practice responsible electricity use, particularly during peak demand periods, saying reduced consumption during these hours could ease pressure on the grid and help consumers manage their electricity costs. / KOC