Meralco PowerGen Corp. (MGEN), Meralco’s power generation arm, is preparing to expand into Malaysia with potential gas-fired power projects, aiming to tap into the country’s plan to add 8,000 megawatts (MW) of new capacity to support its booming data center industry.

MGEN president and CEO Emmanuel V. Rubio said the company is evaluating entry into Malaysia by late 2028, with a development scale comparable to its Singapore gas portfolio. “Anywhere between 1,200 MW and 1,500 MW would be an ideal size of participation,” Rubio said during a roundtable discussion.

He noted that hyperscale data centers are reshaping Southeast Asia’s power needs and will require large-scale, reliable supply. “I believe that data centers would be the new divide between developed and developing countries,” he said.

The Malaysia initiative builds on MGEN’s overseas track record, including its investment in Singapore-based PacificLight Power Pte. Ltd., which was recently awarded the right to build a 600-MW combined cycle gas plant in Jurong Industrial Park.

MGEN has also become a stronger contributor to its parent company’s results. In H1 2025, Meralco’s consolidated core net income rose 10% to PHP 25.5 billion, with MGEN accounting for PHP 9.4 billion, or 37% of the total. This was up from 27% in the same period last year, and driven by the unit’s higher revenues from the reserve market, new capacity in Singapore, and improved plant availability.

Domestically, MGEN is pursuing the 1,500-MW MTerraSolar project in Nueva Ecija, the 1,200-MW Atimonan high-efficiency coal plant in Quezon, and the Toledo battery energy storage system in Cebu, as part of its goal to double capacity to more than 10,000 MW by 2030.

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