December 3, 2025
News

NEA, Maharlika, and Palawan LGU sign MOA to improve island’s power system

  • December 3, 2025
  • 0
NEA, Maharlika, and Palawan LGU sign MOA to improve island’s power system

The National Electrification Administration (NEA), the Maharlika Investment Corporation (MIC), the Provincial Government of Palawan, and the Palawan Electric Cooperative (PALECO) have formalized a new four-way partnership to upgrade Palawan’s electrical infrastructure. The memorandum of agreement was signed on December 2, 2025 at the NEA Main Building in Quezon City.

NEA Administrator Antonio Mariano Almeda said the cooperation among the agencies is a major step toward stabilizing the island’s growing power needs. 

“Palawan’s robust and booming tourism have contributed both to the local economy and our country’s reputation in the international sphere. The island’s aged electrical infrastructure, however, has been hard-pressed to support the province’s growth,” he said. He added that NEA, MIC, and PALECO are aligning efforts to “enhance electricity services in the island province of Palawan.”

Energy Secretary Sharon S. Garin, who witnessed the signing, noted Palawan’s strategic importance as a potential connection point to the ASEAN Power Grid. “The idea is there is just one grid for the whole of ASEAN and Palawan is one that we are having a feasibility study on if it will be connected,” she said. “That is why there’s a need to improve the system within Palawan.”

Under the agreement, MIC will fund studies to assess Palawan’s existing power infrastructure and identify the most cost-efficient improvement strategies. NEA will lead program implementation and technical decisions, while the Palawan provincial government will assist in local legislation and coordination. PALECO will provide technical and operational support throughout the process.

During the question and answer forum, Almeda said the assessment phase is expected to take about six months, with infrastructure upgrades possibly completed by early 2027, although he described that timeline as “wishful thinking.” He also estimated that the investment needed may reach PHP 4–5 billion, noting that last year’s similar project in Mindoro required around PHP 2 billion and Palawan’s needs are larger.

Almeda thanked MIC and the Palawan LGU for their cooperation, saying the effort reinforces the view that “progress is never built alone.” 

With Palawan’s power upgrades now moving into planning and assessment, what improvements do you think should be prioritized to ensure the province achieves long-term, reliable electricity?

Follow Power Philippines on Facebook and LinkedIn or join our Viber community for more updates.