NGCP earmarks ₱600B for grid projects
The National Grid Corp. of the Philippines (NGCP) has allotted some P600 billion to finance more than a hundred transmission projects across the Philippines, an official said on Thursday.
At a briefing, NGCP spokesperson Cynthia Alabanza said that most of the projects covered by the funding are included in the NGCP’s Transmission Development Plan 2024-2050.
“[They are] ready for implementation,” she told reporters.
Major grid developments in Luzon include the Balaoan-Laoag 500 kilovolt (kV) line, the Western Luzon 500 kV backbone Stage 2, the Tuy-Dasmarinas 500 kV line and the Batangas-Mindoro Interconnection.
Seven projects are also in the pipeline for the Visayas, including the Cebu-Lapu-Lapu 138 kV Line, Amlan-Dumaguete 138 kV Line, the Luzon-Visayas HVDC Bipolar Operation, the Calbayog-Allen 138 kV Line, the Nabas-Caticlan-Boracay 138 kV Line, the Barotac Viejo-Unidos 230 kV Line and the Panay-Guimaras 138 kV Interconnection.
Two more would be established in Mindanao, namely the Laguindingan 230 kV Substation and the Kabacan 138 kV Substation.
Alabanza said that the spending for building transmission lines is increasing, as more renewable projects are being fired up and wanting to be connected to the grid to transmit power to the end-users.
She shared that for the past 15 years, the country’s grid operator invested P340 billion.
Recovery investments ‘badly needed’
Asked for his wish on the agency’s existing rate reset petition at the Energy Regulatory Commission (ERC), NGCP president Anthony Almeda said: “Fair for all and just follow the rules of the agreement.”
Last week, the ERC released a draft final determination for the fourth regulatory period of the NGCP.
Under a rate reset process, a regulated entity such as NGCP is obliged to submit to the ERC its spending and proposed projects over a period, usually five years unless extended by the regulator.
It would then evaluate how much should be passed on to consumers.
Based on the document, the ERC wanted to cap the NGCP’s allowable revenue at P310 billion, just more than half of the P552 billion the former claimed.
Alabanza said the NGCP was still studying its position on the draft ruling, with its comments expected to reach the ERC on Nov. 23.
