For completion Oct 2027
The Energy Regulatory Commission (ERC) said it has approved two of the National Grid Corporation of the Philippines’ (NGCP) proposed transmission line projects with a combined value of P32.02 billion.
The approval was dated May 14, 2025 but the commission announced this development only on Thursday, May 22.
The projects include the P18.82 billion Western Luzon 500 kilovolt (kV) backbone stage 2 and the P13.2 billion Nagsaag-Santiago 500 kV transmission line, which traverses the provinces of Pangasinan and Isabela.
The cost of both projects will have to be optimized based on the actual use and verification of expenses that each project will incur, the ERC said.
The verification process will be made on the basis of official receipts and other supporting documents, it added.
NGCP said in its project applications that the 500 kV backbone project aims to accommodate the bulk of incoming power generation in Northern Luzon.
It will also complement three other proposed transmission line projects in the region, the grid operator said.
The 500 kV backbone transmission system will allow a higher level of reliability, ensuring the electricity supply is as secure as possible, the NCGP added.
The ERC gave the grid operator until Oct. 31, 2027 to complete the project.
Meanwhile, the 500 kV transmission line project will accommodate the incoming capacities from hydro, geothermal, and solar power plants from the provinces of Ifugao, Kalinga and Apayao.
The industry regulator allowed NGCP to complete the transmission line until Nov. 30, 2030.
The ERC, however, conveyed its concerns with the Department of Energy, saying there is a “proliferation of projects in areas that have poor accessibility to transmission facilities.
This makes it necessary to build “new and extensive transmission lines with very limited capacity,” the commission said.
The ERC is a quasi-judicial body which makes decisions on energy-related applications and cases that will affect power rates in the country.
NGCP is a private company that manages, operates, maintains, and develops the country’s state-owned power grid.
