The Philippines has secured funding for two large pumped-storage hydropower projects valued at about USD5 billion as part of efforts to strengthen energy security and support the expansion of renewable power generation. The projects are expected to help stabilise the country’s electricity grid as renewable energy capacity continues to grow.
Pumped-storage hydropower systems function as large-scale energy storage facilities by pumping water to higher reservoirs during periods of low electricity demand and releasing it to generate power when demand rises. This technology is increasingly viewed as critical for balancing intermittent renewable sources such as solar and wind.
The new projects form part of the Philippines’ broader energy transition strategy, which aims to reduce dependence on coal while improving grid stability. Large-scale hydropower storage facilities will allow surplus renewable energy generated during peak periods to be stored and used later, helping maintain a reliable electricity supply.