As the Philippines accelerates its energy transition, a less visible challenge is beginning to surface and it’s not in power plants or transmission lines, but in the digital systems that underpin the industry. For utilities navigating a more competitive and complex market, outdated platforms are emerging as a critical constraint.

Speaking to Power Philippines, Gentrack General Manager for Asia Jason Ong said the next phase of the energy transition will depend not just on physical infrastructure, but on how well companies can modernize their digital backbone.

Gentrack is a provider of software solutions for utilities across the energy, water, and gas sectors, helping companies manage billing, customer engagement, forecasting, and system integration. In the Philippines, its focus has been on enabling energy companies to launch new products faster, improve customer experience, and adapt to increasingly competitive environments.

The hidden cost of legacy systems

Many utilities in the Philippines continue to rely on legacy billing and customer management systems. These platforms, while still functional, are increasingly ill-suited for a fast-moving energy market.

“The problem that we have seen, especially in the Philippines, is because they are still using older legacy… billing and product systems,” Ong said.

These systems limit how quickly companies can respond to market changes. In a competitive environment, even small delays can have significant consequences.

“For them to go to market, it takes… weeks and months. And by then they lose that edge,” he added.

When competition moves faster than systems

As retail competition expands, energy companies are under growing pressure to differentiate through pricing, product offerings, and customer experience, but legacy systems make this difficult.

“In a contestable market… you have to come up fast,” Ong said. “Otherwise… somebody else… would have gone to market with something similar or even better.”

Beyond speed, outdated platforms can also affect service quality, leading to issues such as billing errors and delayed transactions. These are factors that can erode customer trust.

A more complex grid

At the same time, the energy system itself is becoming more complex.

The rise of renewable energy, distributed generation such as rooftop solar, and large new demand sources like data centers are reshaping how electricity is produced and consumed. Price volatility and shifting supply conditions add another layer of uncertainty.

This growing complexity is pushing utilities to rethink how they manage operations.

Data as the new backbone

For Ong, the answer lies in data. “It goes back to data… and using AI leveraging on the data,” he said.

Modern energy systems require the ability to capture, process, and act on large volumes of information in real time. This includes everything from demand forecasting to operational decision-making.

“The worst thing that can happen is if an operator does not have the data to help them make decisions,” Ong noted. Without accurate and timely data, utilities risk falling behind in both performance and responsiveness.

AI and real-time decision-making

Artificial intelligence is becoming a key tool in managing this complexity. By enabling real-time analytics and predictive capabilities, AI allows operators to respond more quickly to changing conditions. These can range from a demand spike, a supply disruption, or shifting market dynamics.

“It is the ability… to support their timely, and informed decision-making process because conditions will continue to change,” Ong said.

At the same time, AI can help reduce operational costs without compromising service quality, offering a pathway toward more efficient and scalable energy systems.

Supporting the next wave of energy use cases

Modern digital platforms are also critical for enabling new energy use cases. From rooftop solar and net metering to electric vehicle integration and distributed energy systems, these applications depend on accurate, real-time data and seamless system integration.

“It has to be scalable because we are talking about massive amounts of data,” Ong said.

This shift is also driving the adoption of cloud-based systems, which can handle the scale and complexity required by modern energy networks.

Transformation already underway

While regulatory reforms continue to evolve, Ong emphasized that digital transformation is already being driven by real-world demands.

“It’s not really a matter of a chicken or egg situation,” he said. “These use cases are already driving utilities to start modernizing their systems.”

Across Southeast Asia, including the Philippines, utilities are beginning to recognize the need for real-time, AI-enabled platforms to support their energy transition goals.

“I’m very encouraged… the Philippines is on the path towards digital modernization,” Ong concluded.

As the energy system becomes more complex and data-driven, can utilities modernize their digital infrastructure fast enough to keep pace with the next phase of the transition?

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