Demand of power in the Philippines is concentrated in Luzon Grid by about 75%, however, construction or addition of a new power generation facility didn't take place until the second half of 1980s. Due to the deterioration of facilities, power generation function was seriously deteriorated and chronic power-cut persisted due to the lack of electricity until the first half of 1990s. The basic idea of the 3 energy policies upheld by the government of Philippines were "reliable power supply at reasonable price", "promotion of efficient energy use" and "development of energy with minimum environmental impact". Based on the basic idea, the country targeted to reduce dependency on imported oil from 51.4% in 1986 to 46.9% in 1992 and strengthen geothermal power generation.