MHI Signs Memorandum of Agreement with University of the Philippines to Consider Decarbonization Strategies in the Philippines

Tokyo, October 2, 2025 - Mitsubishi Heavy Industries, Ltd. (MHI) has concluded a Memorandum of Agreement with University of the Philippines to jointly study plans regarding the power supply mix and decarbonization in the Philippines. This joint research is supported by and conducted as part of the Global South Future-Oriented Co-Creation Project (FY2023 supplementary expense subsidy program) administered by Japan's Ministry of Economy, Trade and Industry (METI).(Note)

The Philippine government's current energy plan sets ambitious targets to increase the proportion of power generated from renewable energy to 35% by 2030, and 50% by 2040. At the same time, grid stabilization will be required to handle the expanded introduction of power from renewable energy sources, while construction of new natural gas-fired power plants is also being planned in preparation for future increases in demand for electricity, expected in line with projected economic growth.

This joint research will utilize MHI's electricity market simulation models to analyze current energy plans, and develop proposals for the optimal power supply configuration to meet the increase in electricity demand, while also reducing CO₂ emissions.

The joint research is expected to result in a broad range of proposals for the energy and electricity markets in the Philippines, including proposals to government agencies for decarbonization strategies, and proposals to industry for facility optimization.

Going forward, MHI Group will continue to strategically pursue measures for the energy transition, aiming to decarbonize energy supplies and achieve carbon neutrality by 2040.

• Japan's Ministry of Economy, Trade and Industry (METI), to support future industries where growth is expected, provides backing for projects in Global South countries that aim to leverage the respective strengths of Japanese and local companies to build resilient supply chains and achieve carbon neutrality.