Government eyes P101 billion from sale of big-ticket hydropower plants

The Marcos administration aims to generate P101.5 billion from the privatization of major hydroelectric power plants in 2025, with a focus on selling the Caliraya-Botocan-Kalayaan (CBK) complex and restoring the Agus-Pulangi assets, said Department of Finance Undersecretary Michael Peter Alejandro. The CBK complex in Laguna and Quezon, recently transferred to the Thunder Consortium, is expected to yield P36 billion, although proceeds will be received in 2027 due to accounting reasons, prompting the revision of this year's target.

Additionally, the Agus-Pulangi complex in Mindanao, comprising seven hydropower plants with a capacity of over 1,000 megawatts, is slated for rehabilitation through a public-private partnership (PPP) framework, with a private partner anticipated to be announced next year, with expected completion between 2028 and 2032. Alejandro stated that the government has adjusted its privatization revenue goal for this year to P38.1 billion, marking a 62.5% reduction compared to the previous target of P101 billion.

This year, the government plans to pursue the sale of three significant assets, including the Food Terminal Inc. (FTI) and Mile Long properties, following the completion of the Atrium of Makati sale. To date, the government has raised P1.9 billion in its first six months, with anticipation of additional funds from the FTI and Mile Long sales. Alejandro revealed that developers and pension funds have shown interest in the Mile Long property.