AboitizPower and JERA Strengthen Collaboration on Energy Transition

Feb 2026

AboitizPower Corp. and Japan’s JERA Co., Inc. are pursuing what they describe as a pragmatic approach to the energy transition, balancing renewable energy expansion with lower-emission thermal generation as net-zero targets approach.

AboitizPower aims to achieve a 50:50 mix of renewable and thermal capacity by 2030. Its current portfolio consists of approximately 22.5% renewable energy and 77.5% thermal assets, with coal accounting for 47.8% and natural gas 28.3% of the mix. The company plans to expand renewables while selectively developing baseload plants, with a preference for natural gas over coal.

JERA, which holds a 27% stake in AboitizPower and generates roughly 30% of Japan’s electricity, is supporting the Philippine firm in liquefied natural gas (LNG) development and broader fuel supply strategies. The partnership extends beyond capital investment to technical collaboration and fuel innovation.

In 2023, the two companies began assessing the feasibility of co-firing ammonia in coal-fired power plants and hydrogen in LNG facilities to reduce carbon emissions. In Japan, JERA successfully conducted a 2024 demonstration at its 1,000-megawatt unit in the Hekinan power plant, achieving ammonia substitution rates of up to 28%. The company aims to raise ammonia usage in large-scale plants to more than 50% by 2028.

JERA has also tested hydrogen production using solid oxide electrolysis cell (SOEC) technology, positioning it as a next-generation fuel solution.

Beyond technology deployment, the partnership includes operational knowledge sharing and talent development. In September 2025, the two firms launched a Global Technical Center of Excellence in Batangas to strengthen workforce capabilities. The center recently graduated its first batch of Filipino and Japanese trainees under operations and maintenance programs.

JERA has identified the Philippines as a high-priority market, with both companies positioning their collaboration to support energy security while advancing decarbonization and innovation.

(Source: Philippine Daily Inquirer)

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