Photo credit: PCO

In a big move to secure a stronger grip on the nation’s power grid, Synergy Grid and Development Philippines Inc. (SGP) has accepted a binding offer from the government, led by President Ferdinand R. Marcos Jr., for a 20% stake in the National Grid Corporation of the Philippines (NGCP). The deal, made through the Maharlika Investment Corporation (MIC), was signed on Monday at Malacañang Palace, with the President personally witnessing the momentous occasion.

“Congratulations, everyone. I know it wasn’t easy. I think, in the end, we found a good solution to everyone’s concern,” President Marcos said during the signing ceremony.
MIC President and CEO Rafael D. Consing, Jr. and SGP Chairman Henry T. Sy, Jr. formalized the agreement, which allows the government’s sovereign wealth fund manager, MIC, to subscribe to preferred shares offered by SGP.

What’s the Deal?

SGP currently holds a 40.2% effective ownership in NGCP, the operator of the country’s power grid. With this investment, MIC will gain two board seats each in both SGP and NGCP, granting the government a voice in the critical decisions affecting the power sector.

“Once the acquisition is completed, we shall be entitled to two out of nine seats in the SGP board, after the total seats are increased from seven to nine. At NGCP, the government gains representation through two out of 15 board seats, following an increase in the total seats from 10 to 15,” Consing explained.

This isn’t just about boardroom seats—it’s about safeguarding the nation’s power supply. Consing emphasized that the move would help protect the grid from external threats and ensure uninterrupted service for Filipinos.

Why It Matters

The deal marks MIC’s first major investment and represents a significant step for the government to regain influence over critical power infrastructure. Since NGCP took over operations of the national transmission system in 2009, it has managed this public utility under a 25-year concession agreement with the government.

While NGCP operates the grid, the transmission assets themselves remain government-owned through the National Transmission Corporation (TransCo). This partnership gives the administration a stronger role in ensuring reliable, affordable, and secure electricity for Filipinos.

For President Marcos, this investment isn’t just a transaction—it’s a statement of intent. By securing a stake in NGCP, the government is positioning itself to play a more active role in protecting and managing the backbone of the country’s energy system.

This partnership signals a renewed focus on energy security, ensuring that every home, business, and community across the Philippines can count on stable and affordable power for the years to come.