In a significant step towards modernizing power infrastructure and enhancing grid stability in the Philippines, Aboitiz Power Corporation, through its subsidiary Therma Marine Inc. (TMI), has commenced development of a 48MW hybrid battery energy storage system (BESS) at its floating oil-fired power plant located in Agusan del Norte.
The facility, known as the Nasipit hybrid BESS, will be integrated into the TMI Mobile 2 oil-fired power barge, stationed in Nasipit Bay, west of the Municipality of Nasipit. Aboitiz Power stated that the integration of BESS is expected to “play a crucial role in providing fast, responsive power to help balance supply and demand in the grid as an ancillary service,” particularly for island grids like Mindanao’s, where grid fluctuations and instability remain a concern.
TMI, a subsidiary of Aboitiz Power – a key player in the Philippine energy sector involved in generation, distribution, and retail – operates through a diversified portfolio including hydroelectric, solar PV, and thermal power sources.
The floating power barge, originally built in 1994 to deliver flexible, on-demand power, will now benefit from the energy efficiency and response enhancements provided by BESS technology. This project follows the successful implementation of a similar system at TMI Mobile 1, an older power plant located in Maco, Davao de Oro. That facility, established in 1993, saw the installation of a 49MW hybrid BESS, which began commercial operations in 2022.
The BESS at TMI Mobile 1 was provided by Finnish energy technology firm Wärtsilä and integrated with a 100MW diesel-powered floating plant. The addition of the BESS drastically reduced ramping time from 15 minutes to just three, significantly improving the plant’s responsiveness.
The TMI Mobile 2 hybrid BESS is scheduled to be operational by the second quarter of 2026.
“This smart solution will help enable more grid stability and support the growing share of renewable energy in our grid,” said Ronaldo Ramos, AboitizPower Transition Business Group chief operating officer for Operated Assets.
The groundbreaking event saw participation from local dignitaries, including Agusan del Norte Governor Maria Angelica Rosedell Malbas Amante and Nasipit Mayor Roscoe Democrito Borja Plaza, highlighting the project’s importance at the provincial and municipal levels.
Aboitiz Power continues to bridge the gap between legacy energy systems and renewable innovations. Among its portfolio is the 24MW Magat BESS located in Ramon, Isabela. Co-located with the 388MW Magat Hydroelectric Power Plant in northern Luzon, the battery system began participating in the reserve market in January 2024.
The hydro facility is owned by SN Aboitiz Power (SNAP), a joint venture between Aboitiz Power and Norwegian renewable energy developer Scatec. SNAP has ambitious plans to roll out 12 BESS projects nationwide, with a focus on frequency regulation and contingency reserves.
In further developments, the Philippines’ Department of Energy (DOE) recently launched an auction initiative aimed at pairing renewables with storage. As reported by Energy-Storage.news in March 2025, the DOE opened the initial steps for a tender scheme that includes 9,378MW of renewable energy. This will cover distributed and large-scale solar PV (including ground-mount, rooftop, and floating installations), as well as onshore wind.
This move is part of the broader strategy under the Philippines Energy Plan 2023-2050, which targets a 35% share of electricity from renewable sources by 2030 and 50% by 2040, with ambitions to further increase renewable penetration beyond that.
The DOE initiative builds upon a wave of recent BESS deployments, where thermal power producers have increasingly adopted battery storage to improve ancillary services amid regulatory requirements in the energy market.
With such projects, Aboitiz Power reinforces its commitment to energy innovation, grid resiliency, and the nation’s renewable transition goals.