The Cebu Provincial Government is preparing for the eventual turnover of its interim power generation operations in Malapascua Island, Daanbantayan, nearly two years after it stepped in to keep the island supplied with electricity.
Gov. Pamela Baricuatro signed Executive Order No. 48, Series of 2026, creating a composite technical working group to plan an orderly transition to a qualified successor while ensuring uninterrupted power service.
The province assumed interim generation operations in August 2024 after the previous power provider ceased operations. It acquired and deployed four 500 kVA generator sets as an emergency measure.
The executive order said the province’s continued operation of the facility requires specialized technical expertise, regulatory compliance, personnel, maintenance, fuel, logistics and significant financial resources, and was never intended to be permanent.
“Continuity, reliability, safety, and affordability of electricity service shall be the paramount considerations,” the order stated.
The working group will assess the existing generation system and determine how the operations can eventually be transferred without compromising the electricity needs of residents and businesses.
It will establish a baseline assessment of the facility and conduct an inventory and inspection of the generator sets, equipment, spare parts, fuel, records and other related assets. The group will also determine their condition, ownership and valuation.
It will review legal and regulatory requirements for the transition and reconcile records on fuel consumption, electricity generation, metering, billing, collections and operating expenses.
Potential successors will include the National Power Corporation Small Power Utilities Group (NPC SPUG), CEBECO II, authorized microgrid operators, third party providers and other qualified entities.
Before any turnover, the group must determine whether the prospective successor has the required authority, generation capacity, fuel supply, personnel, maintenance arrangements and safety and environmental compliance mechanisms.
The assessment will also cover consumer protection, tariff considerations, data management and emergency response and service continuity arrangements.
The TWG will be chaired by Atty. Joseph “Ace” Durano, with Maria Teresa Alcos as vice chair.
Its members include Provincial Legal Officer Atty. Guiller Ceniza, Provincial Treasurer Atty. Roy Salubre, Provincial Budget Officer Danilo Rodas, Sangguniang Panlalawigan energy committee chair Stanley Caminero, Kerrie Keane Shimura, Daanbantayan Mayor Gilbert Arrabis Jr., and representatives from the Department of Energy, Energy Regulatory Commission, NPC SPUG and CEBECO II.
The group may also invite environmental and maritime agencies, current or prospective power providers, consumer and business groups and other stakeholders to serve as technical advisers.
The order makes clear that creating the TWG does not immediately transfer the province’s operations or facilities.
No turnover may proceed until the successor’s authority, readiness, capacity, fuel, personnel and service continuity arrangements have been established.
The order also separates the operational transition from ownership of the provincial government’s assets. Any sale, donation, transfer or other disposition of public property must undergo the required legal, auditing, property, procurement and other government approvals.
The TWG will prepare a written transition plan and hold consultations and technical discussions with affected local governments, consumers, businesses and other stakeholders.
It will submit its findings, recommendations and proposed agreements to Baricuatro and the Sangguniang Panlalawigan for appropriate action. The Office of the Provincial Administrator will serve as the group’s secretariat.
The transition planning comes as Cebu continues to face power supply constraints. As of Sept. 4, authorities reported 972.6 megawatts of capacity unavailable because of plant outages and deratings.
EO 48 took effect upon signing on Sept. 4, 2026.
Photo by Kaiser Jan Fuentes
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