Cebu Tourism, Business Industries Bat for Modernization of Energy Infra to Meet Rising Power Needs

Cebu tourism and business stakeholders emphasized the urgent need to modernize existing energy infrastructure to meet the increasing power demand driven by the province’s expanding economy.

This consensus was reached during a focus group discussion (FGD) organized by the energy consumer group ILAW, as Cebu business owners emphasized their reliance on a stable and efficient energy system for sustained growth and success.

Based on the FGD report, among the concerns raised was the need for modernization of energy infrastructure to keep pace with rising power demand, particularly from the tourism and IT-BPM sectors.

“Failure to address these issues could hinder Cebu’s ability to attract investments and sustain its economic momentum,” the report warned.

As a prominent tourism hotspot, Cebu enjoys a steady influx of visitors year-round, especially during the Sinulog festival in January, and power disruptions could lead to customer dissatisfaction.

“While participants acknowledged the critical role of electricity in sustaining tourism, any instability risks damaging Cebu’s reputation as a premier destination for both local and international travelers,” the report emphasized.

While Cebu businesses enjoy minimal losses from power instability compared to other tourism hubs, the average satisfaction rating of 6.75 for electric cooperative services suggests room for improvement in reliability and efficiency to reduce operational costs further.

Aside from Cebu, ILAW also conducted FGDs with business owners in the Island Garden City of Samal (IGACOS), Siargao Island, and Puerto Galera, revealing widespread dissatisfaction with their local power providers. The FGDs were also carried out to determine and assess the energy challenges affecting the said areas, in order to provide data-driven recommendations for local and national policymakers in aiding tourism businesses.

ILAW, for its part, called on the Department of Energy (DOE) and the Energy Regulatory Commission (ERC) to impose stricter accountability measures on electric cooperatives operating in these tourism hubs.

“Continued power instability threatens business sustainability, job security, and the long-term growth of the tourism sector. If this persists, businesses will have no choice but to shut down, leaving many without jobs,” ILAW national convenor Beng Garcia warned.

“There is also a need for penalties for service failures and the implementation of mandatory compensation policies to protect affected businesses,” ILAW youth convenor Francine Pradez added.

The group also recommended investing in renewable energy, community microgrids, and energy storage systems to provide more reliable power to tourism zones.

The organization also emphasized that close coordination between the Department of Tourism (DOT), the Department of Energy (DOE), and the Energy Regulatory Commission (ERC) is essential to effectively represent the tourism sector’s interests in energy planning. (MCN)