Villar power firm loses right to serve Siquijor
The Energy Regulatory Commission (ERC) has ordered the shutdown of Villar Group-owned Siquijor Island Power Corp. (Sipcor) following multiple violations, paving the way for new power facilities to secure the province’s electricity supply.
In a joint statement posted with the National Electrification Administration (NEA) on Friday, the ERC revoked Sipcor’s provisional authority to operate on Aug. 29, citing the firm’s failure to obtain a Certificate of Compliance, poor maintenance that caused prolonged outages, delayed replacement of parts, noncompliance with reporting requirements and breach of obligations under its power supply agreements with the local electric cooperative, the Province of Siquijor Electric Cooperative Inc. (Prosielco).
ERC chairperson lawyer Francis Saturnino Juan, along with Department of Energy (DOE) Undersecretary Mario Marasigan and NEA Administrator Antonio Mariano Almeda, personally served the order, directing Sipcor to cease operations immediately.
In response, the NEA, Prosielco and partner stakeholders fast-tracked the construction and commissioning of new power plants in Larena, Lazi and Candanay towns. These facilities now provide 15.75 megawatts (MW) of electricity—well above Siquijor’s 9.5 MW peak demand.
NEA also deployed linemen from neighboring Cebu cooperatives to assist in energizing the new terminals.
The Villar Group has yet to release a statement when asked.
Multiple violations
Energy Secretary Sharon Garin, in a separate statement on Friday, said the cancellation of its permit to operate would take effect immediately due to “multiple violations of operational and regulatory compliance requirements.”
The decision came “following the worsening power supply situation in Siquijor Province and the severe impact this has had on lives and livelihood across the island,” the energy chief added.
Based on the ruling, citing Garin’s letter, the ERC said only 4.9 MW of Sipcor’s installed capacity was available as of Aug. 4—not sufficient to meet the peak demand of 9.205 MW.
It further noted that from June 15 to Aug. 3, 39 out of 50 days had power interruptions exceeding 10 hours.
Given the situation, about 16,000 consumers on the island suffered from brownouts. This has also prompted authorities to place Siquijor under a state of calamity since June 9.
Garin said the situation could be blamed on the company’s “failure to conduct timely repairs, perform preventive maintenance, secure fuel inventory and obtain valid operating permits for both its owned and rental generating units.”
The ERC said that allowing Sipcor to remain the sole provider in the province would “place the electricity consumers … in a highly untenable situation.”
While this developed, Garin assured consumers that the island would not be left in the dark as Prosielco has secured emergency power supply agreements with TotalPower Inc. for 15.3 megawatts of supply.
President’s order
The NEA-ERC joint statement also said the move fulfilled President Marcos’ State of the Nation Address (Sona) directive to resolve Siquijor’s persistent brownouts before year-end—completed four months ahead of schedule.
“This swift, coordinated response ensures reliable power for Siquijor and affirms government’s commitment to energy security and public service,” NEA said.
For years, residents endured erratic electricity—students studied by candlelight, store owners lost income from spoiled goods and families were forced to live through long blackouts.
The tourism industry, the province’s main economic driver, was also hit hard. Resorts and homestay owners reported booking cancellations, while restaurants struggled to operate without steady power.
