First Gen Corp. is upgrading its more than 40-year-old Palinpinon-1 geothermal power plant in Valencia, Negros Oriental, in a modernization project that will add 13.5 megawatts (MW) of renewable energy capacity to the Visayas grid.
Through its geothermal subsidiary, Energy Development Corp. (EDC), First Gen will replace the plant’s three 37.5-MW turbine-generator units with three newer 42-MW units. The upgrade will raise Palinpinon-1’s installed capacity from 112.5 MW to 126 MW.
The project is designed to increase electricity generation without requiring additional extraction of geothermal steam. By using more efficient turbine technology, the company expects to produce more power from the same geothermal resource while extending the plant’s operating life.
The modernization is scheduled to begin in the last quarter of 2026, with completion targeted by the end of 2027. The facility has been supplying renewable electricity to the Visayas grid for more than four decades.
The upgrade comes as power demand continues to grow across the Visayas, where dependable generation capacity remains important to grid stability. Unlike variable renewable sources, geothermal plants can provide continuous power because generation is not dependent on sunlight or wind conditions.
Palinpinon-1 is part of the Southern Negros Geothermal Project, which has a combined capacity of 222.5 MW. First Gen said electricity generated by the Southern Negros facilities in 2025 helped avoid more than 1.035 million metric tons of carbon-dioxide-equivalent emissions compared with an equivalent amount of electricity generated from coal.
The Palinpinon upgrade is also part of a broader investment program for the Southern Negros geothermal operations. First Gen has previously outlined plans involving additional wells, steam-gathering infrastructure and energy-storage expansion as it seeks to sustain geothermal production in the area for decades.
First Gen has been expanding and modernizing its renewable portfolio as demand for locally produced electricity rises. Its geothermal subsidiary EDC operates more than 1,300 MW of geothermal capacity, while the First Gen group has around 1,700 MW of renewable capacity across geothermal, hydro, wind and solar facilities nationwide.
The additional 13.5 MW from Palinpinon-1 will therefore come from an existing geothermal facility rather than a new steamfield development, allowing First Gen to increase renewable generation while making greater use of infrastructure already operating in Negros Oriental.
For the Visayas grid, the project adds another source of round-the-clock renewable power. For First Gen, it marks another step in extending the life and improving the efficiency of established geothermal assets as the Philippines works to expand its lower-carbon electricity supply.
