Energy leaders at Energyear Philippines 2026 warned that the Philippines’ renewable energy push is moving faster than the country’s power system can support, with transmission constraints and planning gaps threatening to slow the energy transition.

Speaking during the opening panel, participants agreed that while renewable targets are clear, grid readiness and system coordination remain the weakest links in delivering those goals on the ground.

Fortunato Leynes, president and CEO of National Transmission Corporation, said the core issue is misalignment between generation development and transmission planning. “There is no transition without transmission,” Leynes said, stressing that power plants can be built much faster than the transmission lines needed to carry their output.

Leynes noted that while generation projects typically take two to three years to develop, transmission facilities can take at least seven years, largely due to right-of-way acquisition, permitting delays, and court injunctions. This timing mismatch, he said, creates bottlenecks even when renewable projects are technically ready to connect.

From the developer’s perspective, Jupiter Nuñez, head of commercial regulatory affairs and ancillary services at SN Aboitiz Power, said capacity targets are often set ahead of system readiness. He explained that projects may be aligned with policy and technically feasible, but still struggle to deliver promised outcomes because transmission availability and grid flexibility follow a slower timeline.

Nuñez added that this sequencing challenge affects project viability, as renewable assets depend on the grid’s ability to absorb variable generation and provide sufficient flexibility through storage and ancillary services.

Permitting and coordination issues further complicate delivery. Dodjie Lagazo, group general counsel of ACEN, said developers must navigate multiple national agencies, local government units, and land classification systems, often with limited coordination. He called for a lead agency that can streamline permitting and provide greater certainty to investors.

Lagazo said the lack of coordination not only delays projects but also increases costs, as developers are forced to resolve overlapping requirements across institutions before reaching a final investment decision.

Energy journalist Myrna Velasco highlighted the consumer impact of these gaps, noting that poorly synchronized transmission development can result in underutilized grid capacity. She said the costs of unused or mismatched infrastructure are ultimately passed on to electricity consumers through regulated charges.

Panelists acknowledged recent policy efforts aimed at addressing the problem, including moves to allow private developers to advance certain transmission projects. While welcomed by industry players, speakers cautioned that the success of these reforms will depend on clear implementing rules, cost recovery mechanisms, and transparent project prioritization.

As the Philippines accelerates its energy transition, the panel made clear that renewable ambitions will only be met if transmission planning, permitting reform, and system readiness keep pace — but which reforms should the government prioritize first to close this gap?

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