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The Agus-Pulangi Hydropower Complex (APHC) in Mindanao requires urgent rehabilitation due to aging infrastructure, with only 600 to 700 MW of its 1,000 MW capacity currently operational. The complex supplies over 50% of Mindanao's electricity.

The Philippine government aims to restore all seven hydropower plants, as indicated by a World Bank report highlighting their need for modernization to maintain reliability and safety. PSALM is overseeing the process and has received two unsolicited proposals for rehabilitation, which is expected to cost around $290 million.

A concession-type agreement, rather than a sale, will govern the rehabilitation. The Public-Private Partnership (PPP) Center has endorsed two proposals, raising concerns about compliance with PPP Code rules, as both proposals involve similar scopes and the second was submitted beyond the allowable period. The rehabilitation's success is vital for electricity reliability and public trust.