AboitizPower allots ₱78.1B for capex budget this year
By Lorenz S. Marasigan – March 21, 2025
from Business Mirror
Aboitiz Power Corp. has allotted P78.1 billion in capital expenditure (capex) for 2025, majority of which will be used to expand its renewable energy (RE) portfolio, aligning with its goal of increasing its clean energy capacity to 4,600 MW by 2030.
The company said it will continue to make huge bets on RE. Last year it set aside 72 percent of its capex budget of P73 billion for clean energy projects.
These include the 159-MWp Laoag solar project in Pangasinan, the 17-MW Tiwi binary geothermal plant in Albay, the 45-MWp Armenia solar project in Tarlac, and the 173-MWp Calatrava solar project in Negros Occidental.
Meanwhile, AboitizPower President and CEO Danel C. Aboitiz described the company’s outlook for 2025 as a “mixed bag.”
He noted that while Wholesale Electricity Spot Market (WESM) prices are low—a sign that supply additions are outpacing demand growth—the company remains optimistic.
“We’ve been able to contract a good portion of our portfolio to shield us from those low WESM prices. So, AboitizPower should be okay,” Aboitiz said.
He anticipates improvements in both earnings before interest, taxes, depreciation, and amortization (Ebitda) and net income compared to 2024. AboitizPower saw its core net income grow by 5 percent to P33.7 billion from P32 billion the year prior, while recording a 2-percent uptick in its net income to P33.9 billion from P33.1 billion.
Its Ebitda also increased by 13 percent to P73.3 billion.
“A lot of the projects are long gestation. Beyond 2025, you should see those capacities come in. So when the capacity comes in,” Aboitiz said.
The company said it expects continued progress this year, bolstered by its business and operational achievements last year, which saw developments in its ambitious program to grow its RE fleet by three times by 2030.
“AboitizPower remains focused on delivering operational excellence in its power plants, developing a pipeline of new energy capacity, and pursuing opportunities in its distribution and retail business,” said AboitizPower Chief Finance Officer Sandro Aboitiz.
