Aboitiz, San Miguel dominate PH power market as ERC sets 2026 capacity limits

Power giants Aboitiz Equity Ventures, Inc. (AEVI) and San Miguel Corporation (SMC) continue to dominate the Philippine energy sector, according to the latest market assessment by the Energy Regulatory Commission (ERC).

On Friday, the ERC released its 2026 assessment of the country's power generation market, identifying the five largest power producers by installed generating capacity:

Aboitiz Equity Ventures is the country's largest power producer, accounting for 24.30% or 6,850,634 kilowatts (kW) of the national grid—less than one percentage point below the 25% ownership cap under the Electric Power Industry Reform Act of 2001 (EPIRA). Regionally, AEVI holds 27.53% of Luzon's generating capacity, 16.99% of the Visayas', and 14.85% of Mindanao's.

San Miguel Corporation ranks second with 19.62%, or 5,533,079 kW, of the national total. It accounts for 24.67% of Luzon's generating capacity, 4.18% of the Visayas', and 8.12% of Mindanao's.

First Gen Corporation placed third with 10.74%, or 3,028,416 kW, of the national total. It holds 12.07% of Luzon's generating capacity, 14.61% of the Visayas', and 1.27% of Mindanao's.

Ayala Corporation ranked fourth with a 6.91% share, equivalent to 1,948,581 kW. Its power generation assets are located in Luzon (8.69%) and the Visayas (5.01%), with no installed capacity in Mindanao.

Manila Electric Company (Meralco) rounded out the top five with a 6.70% national market share, or 1,889,674 kW. It accounts for 6.54% of Luzon's generating capacity and 15.93% of the Visayas', with no presence in Mindanao.

The ERC clarified that identifying the largest market players is part of its monitoring process and does not imply that any company has violated competition rules.

However, the commission said companies must notify the ERC within 15 days if any business deal or the commissioning of a new power plant causes them to exceed the legal market share limits, along with an explanation of the circumstances.

The ERC also announced the 2026 market share limits for power generation companies under EPIRA, which prohibits any company from controlling more than 25% of the country's total installed generating capacity or more than 30% of the installed capacity of any regional grid.

Based on the country's total installed generating capacity of 28,197,045 kW, the ERC set the following maximum ownership thresholds:

• National grid: Total capacity is 28,197,045 kW, meaning no single company can control more than 7,049,261 kW or 25%.
• Luzon grid: Total capacity is 20,422,806 kW, with a company limit of 6,126,842 kW or 30%.
• Mindanao grid: Total capacity is 4,295,915 kW, with a company limit of 1,288,775 kW or 30%.
• Visayas grid: Total capacity is 3,478,324 kW, with a company limit of 1,043,497 kW or 30%.

"The annual determination of the Installed Generating Capacity and Market Share Limitation is a critical safeguard under EPIRA that prevents excessive concentration in electricity generation," ERC Chairperson and Chief Executive Officer Francis Saturnino Juan said.

"Healthy competition encourages greater investment, promotes innovation, and helps ensure that consumers benefit from more reliable, efficient, and competitively priced electricity." — VBL, GMA News