THE Energy Regulatory Commission (ERC) has approved the National Grid Corporation of the Philippines’ (NGCP) proposed Pinili 230 kilovolt substation project in Ilocos region worth P1.63 billion.
The regulatory body made the announcement public over the weekend.
The ERC said in the ruling that such approved amount will still be “subject to optimization based on actual use and verified expenses.”
NGCP explained in its project filing that the substation is meant to address the forecast power load growth in Ilocos while also providing an alternate connection source for power facilities, apart from the existing Laoag substation.
The company also said the project, which is expected to be up in 62 months, will serve as the new connection point for future renewable energy (RE) power plants in the area.
Earlier, NGCP said the integration of more RE into the grid will require more from the energy sector, including significant transmission backbone expansion that needs reinforcement from both policy and support infrastructure.
The company also said then that support from other sectors outside the energy industry must also be in full force to accommodate the integration, such as roads and ports for the expected influx of materials needed to build the transmission facilities.
NGCP is the private firm in charge of operating, maintaining, and developing the country’s state-owned power grid.
The ERC operates as a quasi-judicial body, mainly deciding on applications and cases bound to affect power rates in the country.
