The Caliraya-Botocan-Kalayaan (CBK) Pumped-Hydro Power Plant—one of the largest and most critical facilities supporting the Luzon grid—has entered a new chapter following its ceremonial turnover to a new concessionaire.
President Ferdinand “Bongbong” Marcos Jr., who attended the February 9 turnover, highlighted the government’s push to strengthen the energy sector through partnerships and long-term planning.
“We, in government, continue to strengthen the systems in our energy sector — by improving policies, processes, and partnerships to ensure that energy reliability and affordability are sustained in the long term,” he said.
Japanese Ambassador Kazuya Endo, who also attended the turnover ceremony at the Kalayaan Plant Complex, underscored Japan’s continuing role in the operation of the 797-megawatt hydroelectric facility; the plant has long served as a cornerstone of the Luzon power system, operating around the clock and delivering ancillary services that help stabilize electricity supply across the region.
The turnover marked the formal handover of the CBK hydroelectric complex from the Power Sector Assets and Liabilities Management Corporation (PSALM) to the Thunder Consortium under the project name Cleanergy 9 Power Inc.
The consortium is composed of Aboitiz Renewables, Inc., Japan’s Sumitomo Corporation, and Electric Power Development Co., Ltd. (J-POWER).
Commercial operations under the new concession period began in February 2026.
For over two decades, Sumitomo and J-POWER have been central to the plant’s operation, having joined the CBK facility in 2005. Their continued participation ensures technical continuity and operational expertise as the Philippines strengthens its energy infrastructure and expands its renewable energy portfolio.
The CBK complex plays a vital role in maintaining grid stability. Beyond generating renewable power, it functions as a pumped-storage facility — essentially acting as a large-scale energy battery.
This allows it to store excess electricity and release it when demand peaks, helping manage fluctuations from solar and wind energy and ensuring power is available when and where it is needed.
As one of the largest hydropower installations serving Luzon, CBK provides flexible, dispatchable capacity that supports the grid during periods of high demand or when intermittent renewable sources dip.
The addition of the Aboitiz Group to the long-standing Japanese participation signals a broader public-private collaboration aimed at modernizing energy systems while accelerating the shift to clean power.
As the Philippines ramps up investments in solar and wind, pumped-hydro facilities like CBK are expected to play an even bigger role in balancing supply and demand.