The Energy Regulatory Commission (ERC) has approved several capital expenditure (CAPEX) projects of the Davao del Sur Electric Cooperative (DASURECO), clearing upgrades that the regulator says are needed to address looming capacity constraints, correct safety deficiencies, and prepare the cooperative’s network for rising industrial demand in Sta. Cruz and nearby areas.

In its decision promulgated December 1, the ERC said the installation of 14 mid-stream protective devices is necessary to address feeders with inadequate fault-detection settings, noting that the enhancement will help prevent fires, electrocution incidents and equipment damage. The Commission approved an adjusted project cost of PHP 26.49 million for the safety upgrade.

The regulator also approved Phase 1 of the Toril–Darong 69-kV subtransmission line, covering 3.71 kilometers from Toril, Davao City to Darong, Sta. Cruz. ERC records show that the existing Davao–Digos line is projected to exceed its normal capacity within the planning period, and that a new line is required to avert overloading. The project was filed with an estimated cost of PHP 74.15 million.

Alongside the new line, the ERC cleared DASURECO’s proposal to construct a 20-MVA Darong substation, including outgoing feeders and a 1,000-square-meter lot acquisition. According to the Commission, the project is needed to “maintain the reliability of supply in the area, avoid rotational outages, solve the overloading problem and accommodate the demand requirement of the new industrial areas in Astorga.”

The decision further approved DASURECO’s request to relocate backbone distribution lines into road right-of-way to minimize safety risks and ease access for maintenance. The Commission set an adjusted approved cost of PHP 56.87 million, after recalculating several cost components.

Other approved projects include rehabilitation of aging 69-kV subtransmission structures, replacement of rotten poles and worn-out meter clusters, and procurement of personal protective equipment and specialty tools for live-line work — measures the ERC said are required to correct existing safety gaps and improve operational response.

The regulator noted that all approved projects remain subject to validation under Article 5.1 of the Amended CAPEX Rules, meaning cost recovery may be reviewed depending on the cooperative’s compliance with reporting and implementation requirements.

What do you think this approval signals for future capacity planning and investment in Mindanao’s distribution networks? Join the discussion and share your take.

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