Senators call for audit; NGCP vows to cooperate

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By RAYMOND AFRICA and JED MACAPAGAL

The National Grid Corporation of the Philippines (NGCP) said it is “fully cognizant” that its franchise is a privilege granted by government and is ready to answer questions raised on its operations as it pursues its mandate as the country’s grid operator.

NGCP made this comment as senators  yesterday called for a comprehensive audit on the reliability of the transmission system and the performance of NGCP amid the power outages experienced in parts of the country.

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“We remain ready to answer any and all questions raised concerning how we do business.

We are confident that the improvements we have introduced and the P300 billion we have invested to strengthening the transmission system will be recognized. We have faith in the legal process and we will continue to comply with all lawful directives, and pursue our mandate faithfully,” said Cynthia Perez-Alabanza, NGCP spokesperson, in a statement.

Senators Raffy Tulfo, chairman of the Committee on Energy; Grace Poe, chairperson of the Committee on Public Services; and deputy minority leader Risa Hontiveros were one in urging the government for a comprehensive performance audit of the NGCP that will determine  whether or not transmission company’s franchise should be revoked.

The Senate Committee on Energy headed by Tulfo conducted a hearing based on several resolutions seeking to determine government’s long-term solution on the power crisis hounding the country.

Tulfo, committee chairman, said it was learned during the hearing that NGCP did not cooperate when the Department of Energy, Energy Regulatory Commission, and the National Transmission Corp. (Transco) sought for documents so the said government agencies can audit the grid operator.

Since NGCP was uncooperative, Tulfo said the Senate panel can issue a subpoena to compel it to submit  documents for the performance audit.

He added that the document should be submitted today (May 18).

He said the NGCP has several violations when it failed to conduct a system development connectivity, among others.

“We can always cancel its franchise. We can specify each and every violation,” Tulfo said in an interview after the hearing.

Aside from the performance audit, Tulfo said national security agencies should assess the national security threat on the country considering that China controls 40 percent of the NGCP.

He also recommended the government give to Transco the systems operations and only allow NGCP for maintenance works.

Earlier, DOE Secretary Raphael Lotilla said the ongoing audit on the performance of NGCP led by the ERC may not categorically result in lower power rates, specifically transmission rates although this will help identify any improvements needed.

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