The Market Monitor Minding the Nation's Business
Even in the water-rich Philippine archipelago, water has become a lucrative area of investment for homegrown businessmen.
First Gen Corporation, Prime Infrastructure Capital Inc., MacroAsia, Summa Water Resources, Boracay Tubi System, New Earth Water System and even Poro Point in La Union are into the development of water infra and facilities, building of dams, and desalination and distribution.
It was announced last Friday that First Gen would be acquiring a 40-percent stake in Prime Infrastructure Capital Inc.’s (Prime Infra) pumped storage hydropower portfolio for P75 billion.
The assets involved are Prime Infra’s 600-megawatt (MW) Wawa pumped storage hydropower project in Rizal province and 1,400-MW Ahunan pumped storage hydropower project in Pakil, Laguna.
Of the purchase price, P62.50 billion will be used to directly fund construction and the equity requirements of the projects, First Gen said in a statement.
The projects represent 2,000 MW of long‑duration energy storage capacity and both have been certified by the government as energy projects of national significance, the company added.
First Gen said that construction across Prime Infra’s pumped storage hydropower portfolio was progressing steadily, with major civil and underground works for the Wawa project well under way and early stage construction of the Pakil project having started.
These milestones reflect the projects’ transition from development into full execution, underscoring the importance of strong partnerships in managing scale, complexity and delivery risk.
Power China is the EPC contractor for both projects with Toshiba and Andritz Hydro providing the electromechanical components.
Desalination facility
As this developed, a subsidiary of MacroAsia Group has begun operations of a desalination facility at the Poro Point Freeport Zone, expanding the Lucio Tan group’s water infrastructure and utilities business.
In a disclosure, MacroAsia announced that Poro Point Summa Water Inc. (PPSWI) had successfully commissioned the first phase of its Poro Point Desalination Treatment Plant.
This facility is located within the 236.5-hectare special economic zone in La Union, administered by the state-run Bases Conversion and Development Authority.
Before the project, the Poro Point Freeport had no dedicated water utility concessionaire or pipeline network.
With the plant now online, locators at the freeport can access a direct source of potable water, which is crucial to maintaining supply stability for industrial and commercial operations.
“The facility is expected to enhance water supply reliability and resilience within the Poro Point Freeport Zone, with the potential to extend water supply to areas adjacent to the Freeport Zone in San Fernando City, subject to applicable approvals,” MacroAsia said.
Diversification
MacroAsia said the project aligns with its strategy to diversify into infrastructure and utility-related investments that can provide stable, long-term cash flows, while supporting national and local development goals.
PPSWI is a special-purpose company formed to finance, develop, construct and operate the desalination facility.
It is wholly owned by Summa Water Resources Inc., which in turn is 60 percent owned by Allied Water Services Inc., a wholly owned subsidiary of listed MacroAsia Corp.
Apart from Poro Point, MacroAsia also has water projects in Bacolod and Lapu-Lapu City, where it is building one of the country’s largest desalination plants through Cebu Summa Water Lapu-Lapu Inc.
In October 2025, the conglomerate also began the construction of a P2-billion water supply project in Iloilo through New Earth Water System, a wholly owned subsidiary of Boracay Tubi System Inc.