Mount Grace Hospitals, Inc. (MGHI), one of the country’s largest hospital networks and a member of the United Laboratories (Unilab) Group, successfully shifted the power needs of 13 of its partner hospitals to renewable energy after reaching agreements with the First Gen Group (First Gen) under different government programs that allow consumers the right to choose their electricity suppliers.
Ten MGHI partners-hospitals now get 4.5 megawatts (MW) of electricity supply from RE after MGHI forged a power supply deal with First Gen under the auspices of the Retail Aggregation Program (RAP). These are: Divine Grace Medical Center in General Trias, Cavite; Capitol Medical Center and the Fe del Mundo Medical Center in Quezon City; Grace Medical Center in San Jose Del Monte, Bulacan; Healthserv Los Banos Medical Center and Westlake Medical Center in San Pedro, Laguna; Medical Center Manila; Medical Center Paranaque; Tagaytay Medical Center; and The Doctors’ Hospital in Bacolod City.
RAP allows end-users to combine their total energy demand to reach a certain minimum threshold, now set at 500 kilowatts (kW) per month, to qualify as contestable customers with the right to choose their own power suppliers.
Two other MGHI hospitals — Gatchalian Medical Center in Ormoc, Leyte; and the Madonna and Child Medical Center in Cagayan de Oro City — have successfully shifted their supply requirements to RE, estimated at 600 kW, by reaching a separate supply agreements with First Gen under the Green Energy Option Program (GEOP).
Meanwhile, Ciudad Medical Zamboanga also signed a separate agreement for its own 700-kW supply of electricity from First Gen under the Retail Competition and Open Access (RCOA) program.
GEOP gives electricity end-users with average peak demand of at least 100 kW over the last 12 months the option to contract directly with an RE provider. The RCOA program, on the other hand, allows end-users with a monthly peak demand of at least 500 kW over the past year to choose their own service providers.
These programs offered MGHI the right to negotiate for direct supply of RE under more favorable rates and incentive offerings.
MGHI and the partner-hospitals finalized their agreements with First Gen last December and fully implemented the contracts in February 2026.
The 13 MGHI hospitals are on top of three other medical facilities — the Mary Mediatrix Medical Center in Lipa in Batangas, the VRP Medical Center in Mandaluyong and the Divine Mercy Wellness & Medical Center in Tuguegarao in Cagayan — which reached earlier power supply deals with First Gen.
First Gen sources the electricity supply for the MGHI partner-hospitals from the Pantabangan-Masiway and Casecnan hydroelectric power plant complexes in Nueva Ecija and the geothermal power facilities in Leyte and Cotabato.
“What this partnership demonstrates is the power of the Mount Grace network in working together to achieve common benefit and goals which will not only improve the efficiency of each hospital but also generate monthly savings on our electricity costs. More importantly, our use of renewable energy reiterates our commitment towards environmental stewardship and community well-being,” said Divine Grace Medical Center president Dr. Leonard Lao, on behalf of MGHI.
“Even as we transition to renewable energy, it is critical that healthcare and medical facilities continue to have stable and steady power sources. We are privileged to support the shift to cleaner energy of one of the biggest hospital groups in the country and are committed to supporting Mount Grace Hospitals in its decarbonization initiatives,” said Carlo Vega, First Gen chief customer engagement officer.
First Gen, the leading RE producer in the Philippines, has 300 MW of generating capacity from the Pantabangan-Masiway and Casecnan hydro complex, as well as the Agusan River facility in Bukidnon. Its RE portfolio also includes 1,400 MW of capacity from geothermal, solar and wind power facilities.
First Gen also maintains a 40-percent interest in four gas-fired power plants with a total capacity of 2,017 MW. The gas plants are 60 percent owned by Prime Infrastructure Capital, Inc.
