NGCP seeks ERC approval for Php24.5B worth of capex projects


The National Grid Corporation of the Philippines (NGCP) is seeking approval from the Energy Regulatory Commission (ERC) for its major transmission and substation projects worth Php24.5 billion.

Based on a Manila Bulletin report, the grid firm said the capital expenditure (capex) projects would need immediate implementation to ensure the stability of the country’s power grids.

The projects include the Php6.79 billion Taguig-Silang 500-kilovolt (kV) transmission line, the Php5.13 billion Tagkawayan 500kV substation project in Quezon, the Php4.3 billion Tuy 500kV substation project-stage 2 in Batangas, the Php4.15 billion Silang 500KV substation project in Cavite, and the Php4.12 billion Pinamucan 500kV substation project, also in Batangas.

The ERC will determine NGCP’s compliance with jurisdictional requirements and expository presentation next month. This includes a pre-trial conference and evidence presentation. The public hearings will be held online. 

ERC’s approval is needed for any transmission firm to begin its projects, as stipulated in Republic Act 9136 or the Electric Power Industry Reform Act (EPIRA). 

The Silang substation project is set for development within 52 months, while the Taguig-Silang line project is slated for a 65-month construction period. The Taguig-Silang line will particularly look into the overloading of the San Jose-Tayabas 500kV transmission line during the N-1 condition. It will also give a new transmission corridor to provide loads in Metro Manila. 

A power grid’s N-1 condition means that there is a back-up that could handle the power load being transmitted in case of partial system failure. It helps prevent power interruptions that could lead to economic losses and inconvenience to customers. 

The Tagkawayan facility is set to be completed in 67 months. It aims to give way to the entry of the nearby 1,200-megwatt (MW) Tagkawayan coal-fired power plant and the 700MW Jose Panganiban plant in Camarines Norte. 

The Pinamucan substation, scheduled to be installed within 56 months, will provide the connection of Vires Energy Corporation’s 500MW and First Gen Corporations 1,200MW liquefied natural gas projects in Batangas City. 

NGCP also said the project will be used as a future connection point of bulk capacity generation in the area. It will also accommodate the needs of the Manila Electric Company (MERALCO) and Batangas II Electric Cooperative, as they prepare for the growth of their power distribution networks. 

The Tuy substation is projected to begin operations in 55 months.




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