Former Bayan Muna representative Atty. Carlos Zarate strongly condemned the US-Marcos regime’s plan to privatize the Caliraya-Botocan-Kalayaan (CBK) complex. He said this would only raise electricity rates, further burdening the people who depend on the service.

“The government should regulate essential services such as electricity. Instead of selling the CBK, it should become a model for renewable energy that will lower electricity rates for everyone,” Zarate added.

The privatization of the CBK complex is scheduled at the end of June this year. According to the Department of Finance (DOF), the government may earn ₱50 billion ($897.99 million) to ₱100 billion from the privatization of the facility.

The 728 megawatt (MW) Caliraya-Botocan-Kalayaan hydropower complex is the last remaining state-owned operational hydroelectric facility and the oldest hydropower plant in the country.

The CBK complex is composed of the Botocan hydro electric power plant (HEPP), built in 1939 with a capacity of 20.8 MW; the Caliraya HEPP, built in 1942 with a capacity of 22 MW; and the Kalayaan pump storage power plant, built in 1983. The plants are located in barangays in Kalayaan, Lumban, and Majayjay in Laguna.

The complex was first developed under the National Power Corporation (NAPOCOR). On February 7, 2001, CBK Power Company Limited officially took over the management of the CBK complex under the government’s Build-Rehabilitate-Operate-Transfer scheme through NAPOCOR, which will end after 25 years.

In April 2005, two Japanese companies—Electric Power Development Co., Ltd (J-Power) and Sumitomo Corporation—acquired the CBK BROT Agreement from the original owner. Their contract will end in February 2026.

The CBK complex is one of the three remaining government-owned large power plants. These have been placed under the Power Sector Assets and Liabilities Management Corporation (PSALM) for the privatization of the facilities. The two others that are also set to be sold are the 932MW Agus-Pulangui hydropower complex in the Mindanao grid, and the 210MW Mindanao coal plant.