Aging Leyte geothermal plant set for P70-B upgrade

TACLOBAN CITY — The Energy Development Corp. (EDC) is studying a P70-billion redevelopment of its aging geothermal facilities in Leyte that could add 200 to 400 megawatts (MW) of new generating capacity and extend the use of the province’s decades-old geothermal resources.

EDC Vice Chairman and Chief Executive Officer Francis Giles Puno said the company is considering a new, more efficient geothermal plant at its Upper Mahiao facility in Kananga, using the same resource that has powered the area for decades.

The existing Upper Mahiao plant, with an installed capacity of 125 MW, is being decommissioned because of its age and deteriorating condition. The plant, which began commercial operations in 1996 and was the first geothermal project in the Philippines built under a build-operate-transfer scheme, was acquired by EDC in 2006. EDC plans to start decommissioning the facility in phases, targeting the initial stage by 2026 and full retirement by 2029.

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READ: EDC to invest P 30B in Leyte geothermal complex

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EDC President and Chief Operating Officer Jerome Cainglet said the company has applied with the Department of Energy (DOE) for approval.

Cainglet said the proposed redevelopment could become one of the largest geothermal redevelopment projects in the world.

“This is a very exciting project in our Leyte facilities (which) could be the largest geothermal redevelopment in the world,” Cainglet said during a media briefing on the sidelines of the Net Zero Conference in Manila on Sept. 16-17.

The proposed facility would use newer technology to generate more electricity from the existing geothermal resource while using less steam and is projected to remain operational for the next 40 to 50 years.

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Puno said the project could increase the efficiency of power generation and potentially deliver more electricity to consumers in the Visayas.

READ: EDC remits P20.38M in Q1 power benefits to Leyte LGUs

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EDC is coordinating with the DOE and other government agencies and hopes to secure the necessary approvals next year. Completion and full commercial operation are targeted for 2030 to 2031.

The project would build on more than four decades of geothermal development in Leyte.

The  Tongonan geothermal field, which spans parts of Kananga and Ormoc City involving more than 107,000 hectares, is considered among the world’s largest geothermal fields and is described by EDC as the world’s largest wet-steam geothermal field.

EDC began developing the Tongonan resource in the 1970s, with a 3-MW pilot plant energized in 1977 to supply electricity to Ormoc City.

The Tongonan 1 geothermal power plant began commercial operations in 1983. Its original three generating units had a combined capacity of 112.5 MW, which was later upgraded to 123 MW.

Tongonan subsequently became the foundation for the larger Unified Leyte geothermal development, with the Upper Mahiao, Malitbog and Mahanagdong plants commissioned from 1996 to 1999.

A 2025 First Gen filing lists about 648 MW of installed capacity in the Unified Leyte geothermal plants, in addition to the separate 123-MW Tongonan plant. Actual generation, however, varies depending on plant availability, steam supply and maintenance.

EDC currently operates geothermal facilities in Leyte involving Tongonan, Upper Mahiao, Malitbog and Mahanagdong.

The proposed redevelopment is intended to replace aging infrastructure while maximizing the output of the existing geothermal resource, which provides renewable baseload power to the Visayas.

Host communities, including Ormoc City and Kananga, could also receive higher royalty revenues if the redevelopment results in increased generation. Local government units hosting geothermal resources receive P0.03 for every kilowatt-hour generated within their jurisdictions.

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EDC said its existing Leyte geothermal facilities will continue supporting power generation while the redevelopment undergoes technical and regulatory review. /das