‘Philippines sitting on $3.9 trillion hydropower potential’

The Philippines holds around $3.9 trillion in hydropower potential, which, according to industry experts, would not only boost electricity supply but also curb worsening floods and enhance farm productivity.

“The estimate is around 650 gigawatts of (untapped potential) because we’re an archipelago and we’re surrounded by water,” said Gertrude Roque, president of the private sector-backed Philhydro Association Inc.

To unlock this vast potential, Roque said the country would need an investment of roughly $5 million to $6 million per megawatt.

“But of course, not all sites are accessible. Road openings, as we call them – especially in mountainous areas – are very difficult, costly and risky,” she said.

While several hydro technologies exist, including run-of-river (ROR), dams and pumped storage hydro (PSH), Gertrude said developing a combination of these would be the “best” approach for the Philippines.

“For dams, we store the water to prevent floods or to irrigate the farms,” Roque said, highlighting the function of dams besides electricity generation.

Large-scale hydro plants often typically require the construction of dams that create reservoirs, allowing water to be stored and released in a controlled way to generate electricity.

ROR facilities are small-scale hydro plants that rely on the flow of the rivers, while PSH can function as an energy storage while also injecting power into the grid to reinforce supply.

“We really need to look into the capacities that we need to build for each type of these hydro projects. We have to balance, plan for it and do a lot of studies and scenario building for that. That’s how flexible, I guess, hydro is,” Roque said.

Energy Secretary Sharon Garin, meanwhile, described hydropower projects as the “perfect partner” in the country’s transition to cleaner, sustainable energy.

“We rely on hydropower for reliability and stability. It provides the crucial firming capacity and the essential ancillary services required to keep our grid stable 24/7,” Garin said.

Amid the country’s persistent flooding problems, the energy chief also affirmed that hydropower could help drive national resilience and flood control.

“Hydro facilities are critical infrastructure for disaster mitigation. Reservoirs and integrated water management actively control river flows, mitigate flash floods and protect communities during severe weather events,” Garin said.

Currently, hydropower accounts for around eight percent of the country’s energy mix.

Source: Philstar

Philippines counting on 14.2-GW new power supply by 2030

Over 14,200 megawatts (MW) of new capacity are set to come online by 2030 to strengthen the country’s power supply, according to the Department of Energy.

Latest DOE data showed that renewable energy accounted for the bulk of committed projects between 2025 and 2030, totaling 11,625.32 MW.

Some 2,620.74 MW of new capacity, meanwhile, will come from conventional sources like coal, oil and natural gas.

Committed projects refer to those that have secured firm financial closure, are already under construction or have been awarded through the government’s green energy auction rounds.

For renewables, solar projects dominated the list with an aggregate capacity of 8,431.19 MW, followed by wind (2,233.24 MW), hydropower (836.38 MW), geothermal (74.22 MW) and biomass (50.28 MW).

These projects are aligned with the Marcos administration’s target of expanding the share of renewables in the energy pie to 35 percent by 2030 from the current 22 percent.

Among conventional sources, coal projects remained at the forefront, with a total capacity of 1,570 MW. Natural gas and oil-based projects are poised to contribute 880 MW and 170.74 MW of new capacity, respectively.

The Philippines is still heavily dependent on coal for power generation despite the government’s moratorium on new Greenfield facilities.

In fact, coal accounted for 62 percent of the country’s power generation mix last year, according to a 2024 report by the International Energy Agency.

While there is a strong push to deploy more renewables, the IEA noted that coal’s share in the energy mix is likely to only marginally decrease to 60 percent by 2027.

Aside from power generation assets, the government is also expecting reinforcements from committed battery energy storage system (BESS) projects totaling 594 MW.

A BESS facility stores electricity from power plants or the grid for various applications such as grid stability, energy efficiency and renewable power integration.

The DOE is counting on these projects to augment the country’s power supply amid rising energy demand.

Under the Philippine energy scenario, peak demand is expected to grow by around 5.3 percent annually until 2028.

Source: Philstar

Liability of Consumers for Unregistered Electricity Consumption

In a world powered by electricity, the relationship between power providers and consumers hinges on accurate metering. But what happens when electricity consumption goes unregistered—whether due to defective meters or other causes? Can utility companies charge consumers for electricity that was not recorded by the meter? More importantly, are consumers legally liable for such unregistered usage?

In the Philippines, this issue was addressed head-on in the landmark Supreme Court case Ridjo Tape & Chemical Corp. v. Manila Electric Co. (G.R. No. 126074, February 24, 1998). This case set important guidelines on the rights and obligations of both utility providers and consumers when it comes to electricity billing.

Understanding Unregistered Electricity Consumption

Unregistered electricity consumption typically occurs when:

• The electric meter is defective, and fails to record usage accurately.

• There is meter tampering or bypassing (an illegal act).

• There are technical malfunctions in the provider’s system that affect reading accuracy.

This often leads to disputes, especially when consumers receive back-billed charges for months—or even years—of previously unregistered usage.

The Ridjo Case: Setting the Legal Framework

In Ridjo Tape & Chemical Corp. v. MERALCO, the petitioners were industrial consumers who received a massive bill from Manila Electric Co. (MERALCO) for “unregistered consumption” after the utility discovered their meters were not accurately recording electricity use. The consumers challenged the charges, claiming they should not be made to pay for electricity not recorded by the meter.

Supreme Court Ruling: Key Takeaways

• Consumers are liable for electricity actually consumed, even if the meter failed to register it, as long as consumption can be proven or reasonably estimated.

• MERALCO was found negligent for failing to detect the defective meters in a timely manner, despite regular inspections.

• The Court ruled that both parties share responsibility: the consumer for using the electricity, and MERALCO for poor equipment oversight.

• Billing must be based on a fair estimate, not arbitrary amounts. The Court allowed MERALCO to collect payments based on a three-month average consumption prior to the period of defective metering.

  
  

What the Law Says

Consumer Act of the Philippines (R.A. 7394)

This law protects consumers from unfair and deceptive practices. However, it also requires consumers to pay for the goods and services they use—including utilities like electricity.

Energy Regulatory Commission (ERC) Guidelines

The ERC allows utility companies to conduct “billing adjustments” in cases of defective meters, subject to rules:

• Back-billing is generally limited to a maximum of 6 months unless fraud is involved.

• The consumer must be notified and given a chance to contest the charges.

• The adjustment should be based on historical consumption data.

  
  

Practical Guidelines for Consumers

1. Monitor Your Monthly Consumption

   • Unusual dips or spikes may signal meter issues.

2. Report Suspected Meter Defects Immediately

   • Notify your utility provider in writing and request an inspection.

3. Never Tamper With Electric Meters

   • Meter tampering is illegal and can result in disconnection, fines, or even criminal charges.

4. Keep Billing Records

   • Past billing statements are essential for estimating usage in case of disputes.

5. Know Your Rights

   • You are entitled to due process. The utility company must present proof of under-registration and apply a fair billing adjustment.

     
     

Conclusion

In the Philippines, consumers can be held liable for unregistered electricity use if it is proven they actually consumed the power, even if the utility meter failed. However, utility companies also bear the responsibility of maintaining accurate and functioning metering systems. The law aims to strike a balance: consumers must pay for what they use, but utility companies must act with competence, diligence, and fairness.

The Ridjo Doctrine, as established by the Supreme Court, affirms that while no one should get electricity for free, back-billing must be reasonable, based on actual data, and never the result of the provider’s own negligence.

Source: Ziggurat Real Estate