PCC clears Aboitiz purchase of CBK hydro complex

The Philippine Competition Commission has approved the acquisition of Caliraya-Botocan-Kalayaan (CBK) hydroelectric complex by an Aboitiz-backed consortium.

Thunder Consortium clinched the 796.64-megawatt complex in July after edging out the FWKG Consortium, backed by Lopez-led First Gen Corp., at the auction held by the state-run Power Sector Assets and Liabilities Management (Psalm).

In a disclosure on Monday, Aboitiz Power said the approval was relayed through its renewable arm, Aboitiz Renewables Inc. (ARI), which had formed Thunder Consortium together with Japan’s Sumitomo Corp. and Electric Power Development Co. Ltd.

The deal covers the privatization of the P36-billion CBK complex in Laguna, a major pumped-storage and conventional hydro facility that helps stabilize the Luzon grid during demand swings.

Dennis Edward Dela Serna, president and chief executive officer of Psalm, said they aim to hand over the facility by February 2026.

Psalm’s hydro assets have drawn strong interest as the government pushes private investment into long-duration energy storage, viewed as essential to supporting the rapid expansion of wind and solar in the Luzon grid.

ARI currently oversees Aboitiz Power’s investments in geothermal, large hydro, run-of-river hydro, wind, solar and battery energy storage systems.

The acquisition supports Aboitiz Power’s strategy to scale up its renewable energy portfolio.

The company earlier said it aims to reach 4,600 megawatts of renewable energy capacity by 2030 as it moves toward a 50:50 clean-thermal energy mix.

Aboitiz Power reported a 15-percent decline in its earnings from January to September, even though it had recorded higher energy sales volumes during the period.

According to the company, its core net income dropped to P23.1 billion from last year’s P27.2 billion.