Mindanao Development Authority:
The Mindanao Development Authority (MinDA) recently stressed that lowering the cost of electricity is a challenge bigger than any single institution.
“It requires a whole-of-government and whole-of-industry approach anchored on sound policy, responsible investment, and evidence-based decision-making,” said MindDA Secretary Leo Tereso A. Magno in a statement dated August 5, 2026, expressed support for concerns raised by the Davao City Council over rising electricity costs.
MinDA has consistently pushed for cost-effective electricity and long-term energy security as key priority for Mindanao. In fact, it has long been advocating not only for additional generation capacity, but more importantly for robust transmission infrastructure, accelerated renewable energy investments and better coordination among concerned agencies—all of which are essential to having lower electricity costs over the long term.
While Mindanao today enjoys excess supply, electricity prices are influenced by many factors beyond available capacity alone. The Wholesale Electricity Spot Market (WESM), fuel prices, generation mix, scheduled and forced outages of power plants, transmission constraints, and market dispatch all affect the generation charge reflected in consumers’ monthly bills. This is precisely why MinDA has consistently emphasized that energy security and electricity affordability must be pursued together.
As Chair of the Mindanao Power Monitoring Committee (MPMC) under Executive Order No. 81 (s.2012), MinDA, with DOE as Co-Chair, recently convened an inter-agency meeting with ERC, NEA, NGCP, NAPOCOR, TRANSCO, PSALM as well as the Association Mindanao Rural Electric Cooperatives (AMRECO) to discuss the power situation and identify practical measures to mitigate high electricity costs.
“We also recognize the need for Distribution Utilities (DUs) to explore having additional long-term Power Supply Agreements where these are commercially viable, legally compliant, and beneficial to consumers. Stable, competitively priced baseload supply, combined with the accelerated integration of renewable energy and battery energy storage system (BESS), will strengthen price stability and reduce excessive exposure to WESM volatility.”
“At the same time, MinDA continues to push strategic reforms that will deliver lasting benefits to Mindanao. These include accelerating the rehabilitation of the Agus-Pulangi Hydropower Complex, supporting the timely development of committed projects, strengthening transmission infrastructure to ease congestion, facilitating investments through the Mindanao – Green Energy Auction (GEA) Program, and promoting innovative solutions such as bioenergy, waste-to-energy, battery energy storage systems, and distributed renewable energy resources.”
“MinDA assures everyone that it remains steadfast in its mandate to coordinate, facilitate, and champion initiatives that will not only ensure sufficient power supply, but also help deliver electricity that is more cost-effective, reliable, and capable of sustaining Mindanao’s continued economic growth and improving the quality of life of every Mindanawon.”
