WHEN the sun sets, and the solar panels fall silent, and when the wind slows, and turbines stand still, a different kind of power quietly steps in. Through the steady current of the flowing rivers and vast reservoirs rising from the mountains, the Caliraya-Botocan-Kalayaan (CBK) Hydroelectric Plant emerges as a key player in the country’s sustainable energy strategy. 

In the steady flow of water through Laguna’s reservoirs, the Caliraya-Botocan-Kalayaan Hydroelectric Power Plant (CBK HEPP) is designed for flexibility and reliability. It positions the Philippines on a forward-looking energy path — powering today's households while also fortifying the grid for a cleaner energy future. 

Green Energy Transition
In 2025, the turnover of the CBK HEPP Complex marked a major milestone in the Philippine government’s power sector privatization program. As part of the government’s Electric Power Industry Reform Act (EPIRA), ownership and operation of the 797-megawatt CBK HEPP were transferred to a private consortium led by Sumitomo Corporation, Electric Power Development Co., and Aboitiz Renewables Inc., a leading power producer in the Philippines. The Aboitiz-led group offered P36.27 billion, outbidding the First Gen Prime Energy Corporation and Korea Water Resources (FGKW) Consortium, which submitted P19.62 billion.

Japanese Ambassador Endo described the transition of stewardship as a milestone in Philippine-Japanese cooperation in advancing renewable energy. “It is clear that this power plant is not merely an energy provider but a pillar supporting the country’s development. I would like to express my deepest respect to all those involved for their dedication, as well as my sincere gratitude to the Philippine government for its long-standing support,” said the Ambassador.

Laguna’s Giant Battery

The CBK HEPP is a 797-megawatt hydroelectric complex located in Laguna, composed of the 39.37-megawatt (MW) Caliraya HEPP in Lumban,  the 22.91-MW Botocan HEPP in Majayjay,  and the 366-MW Kalayaan I and 368.36-MW Kalayaan II pumped-storage plants. The complex operates using three technologies: pumped-storage, impoundment, and run-of-river systems.

As lights turn on, hospitals operate, and industries run, the demand for electricity continues around the clock. Unlike conventional power plants, the complex is powered by water flowing from the dam through the massive pipes called penstocks to spin the turbine. The spinning turbine is connected to a generator, which converts kinetic energy into electricity. 

Yet, the CBK hydroelectric power complex goes beyond simple generation, particularly through its Kalayaan pumped-storage units, which provide flexibility, grid stability, energy security, reserve support,  and serve as a critical energy buffer for the Luzon grid. Hydroelectric power is a dispatchable renewable resource that can be adjusted based on demand. Unlike solar panels that stop producing at night, hydro facilities can ramp up generation as needed, absorbing excess power when supply is abundant and releasing it when it dips, preventing voltage fluctuations and potential outages.

In a ceremonial speech, Sabin Aboitiz, chair of AboitizPower, described the plant’s capacity and resilience in a rapidly changing energy system, as more than just a power facility — but a strategic asset for sustainable development.

Philippines’ Renewable Future

As the Philippines grapples with climate change and the need for sustainable energy sources, hydroelectric power is poised to play a critical role. By releasing no carbon into the atmosphere while generating electricity based on water flow, it stabilizes grid frequency and reduces reliance on fossil fuel peaking plants.

The very core of CBK hydroelectric power significantly reduces greenhouse gas emissions, long criticized for their environmental and health impacts. In this context, the Secretary of Finance, Ralph Gonzales Recto, expressed that CBK power plants are a huge win for everyone, strengthening the country's position for energy security and economic stability. “Ibig sabihin po nito ay mas maaasahan at abot-kayang kuryente para sa bawat bahay, negosyo, at pabrika,” he said.

Additionally, President Ferdinand “Bongbong” Marcos Jr. underscored the strategic importance of the turnover to the country’s energy future, framing it as a deliberate step toward reshaping the country’s energy architecture, one that is steadier in operation, more intelligent in design, and prepared for the long-term demands of a growing nation. The sustainable transition brought by the CBK HEPP would allow the Filipinos to rely on electricity that meets their needs and operates without disruption, powering both the present and the future.