Sunday, June 22, 2025

NGCP told to explain project delays

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The Energy Regulatory Commission (ERC) directed the National Grid Corporation of the Philippines (NGCP) to explain the causes of delays of various transmission projects it sought approval from the regulator.

The Department of Energy earlier said apart from the series of forced and unforced outages of power plants, the lack of firm ancillary services contracted by NGCP caused the low availability of power supply experienced this week.

“We have directed the NGCP to explain in detail the changes in the timeline and the events or activities that led to the modification of the transmission projects’ completion. The NGCP’s explanation will shed light on the status and reason/s for the delay of the completion of the 33 transmission projects that we have already approved,” said Agnes Devanadera, ERC chairperson and chief executive officer.

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Devanadera said in a statement the country’s systems operator of power transmission lines was also asked to comply with the requirement of the Electric Power Industry Reform Act to enter into ancillary services contracts and to update the ERC of the status of its negotiation, if any, of the additional reserves.

Devanadera said under the law, NGCP is responsible for the planning, construction and centralized operation and maintenance of its high voltage transmission facilities, including grid interconnections and ancillary services.

“The completion of the NGCP transmission projects is a crucial element in ensuring the stability of electricity in the entire country. In the same manner, there must be sufficient ancillary services procurement agreement in place to support the transmission of power capacity and energy from generation sources to consumption loads and maintain the reliable operation of the transmission system,” she added.

Last February, NGCP said that the Mindanao-Visayas Interconnection Project may extend beyond its adjusted December 2021 target completion due to damage of several portions of its fiber optic cable connection.

The firm said then that the project’s submarine cable no.1 portion of the Dapitan-Santander 350 kilovolt high voltage direct current line between Dapitan, Zamboanga del Norte and Santander, Cebu, which was completed in November 2020 was found to have been damaged in several locations.

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