The Philippines’ installed power capacity will grow to 121.3 gigawatts by 2040, a 277-percent increase over 14 years from 32.2 GW in 2026, the Department of Energy (DOE) said.
Reaching that target will require substantial new investment, including more than 24 GW of new ground-mounted solar, 20 GW of new gas and nearly 10 GW of new onshore wind, Energy Secretary Sharon Garin said.
“The country will need substantial new capacity to meet growing demand and maintain reliable power supply. As we move toward 35 percent renewable energy by 2030 and 50 percent by 2040, reliability will require a diversified mix of renewables, flexible generation, storage, reserves, and transmission — and the timely completion of projects already in the pipeline,” Garin said.
She said the timely completion of projects already committed and awarded could significantly reduce how much additional capacity the country needs to build.
“If these projects, including offshore wind and waste-to-energy, come online as planned, the requirement for new gas falls to about 13 GW and new ground-mounted solar to about 14 GW by 2040. That tells us something important: delivering projects on time is itself critical to long-term reliability,” she said.
The DOE also factored in the entry of 1.4 GW of nuclear capacity by 2038, Garin said.
“Nuclear can add firm capacity and diversify the energy mix, but it does not replace the need for other technologies. Even with nuclear, the system still requires about 13 gigawatts of new gas and 15 gigawatts of ground-mounted solar, together with wind, storage, and the necessary transmission infrastructure,” she said.
She said no single technology could carry the country’s future power requirements, adding that reliability would depend on renewables, flexible generation, storage, reserves and transmission working together.
“And building enough capacity is only part of the challenge. Once that capacity is in the system, we also have to make sure it performs,” Garin said, citing the need for stricter accountability from generation companies.
“For too long, prolonged and unscheduled outages have put pressure on the power system. Building more capacity will mean little if the plants already connected to our system cannot deliver when they are needed. We are therefore strengthening accountability across the entire life cycle of a power plant — from the standards under which it is built, to how it performs once operational, to the conditions attached to the permits, endorsements, and contracts issued by government,” Garin said.
She directed the DOE Electric Power Industry Management Bureau to review the engineering and design standards applicable to every type of power plant.
“We need to determine whether our existing standards remain adequate for the technologies operating in our system today and where stronger requirements may be needed to improve plant reliability and performance,” Garin said.
Garin also directed the Power Bureau and Renewable Energy Management Bureau to audit the performance of power plants under their respective jurisdictions.
“Installed capacity on paper is not enough. We need to look at actual performance — whether plants are delivering the capacity and reliability expected of them and meeting their obligations to the power system,” she said.
She instructed DOE Legal Services to comprehensively review the conditions attached to certificates of endorsement, certificates of confirmation of commerciality, service contracts and other relevant DOE-issued instruments.
The DOE will examine where conditions need to be strengthened, where accountability provisions need to be clearer and whether the terms attached to these government approvals remain sufficient to protect consumers and power system reliability, Garin said.
Garin ordered the Power Bureau and Legal Services to develop stronger accountability measures for erring generation companies, including a review of available penalties, stronger sanctions for serious or repeated violations and clear grounds and procedures for blacklisting where warranted.
“Government approvals come with responsibilities. A permit, endorsement, or service contract from the DOE cannot simply be treated as a piece of paper. When government grants a company the privilege to participate in our energy sector, we expect that company to deliver on its commitments and comply with the standards and conditions that come with that privilege. Strengthening regulation and accountability are the necessary instruments to stabilizing our grids,” she said.
By Alena Mae S. Flores | August 12, 2026
Via Manila Standard – https://manilastandard.net/business/energy/314777526/philippines-power-capacity-to-nearly-quadruple-to-121-3-gw-by-2040-doe-says.html
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