DOE orders creation of team to assess, audit performance of NGCP
By Alena Mae S. Flores – June 13, 2023, 7:05 pm
from manilastandard.net
The Department of Energy issued an order creating the performance assessment and audit team for the operations of the National Grid Corp. of the Philippines.
Department Order 2023-06-0018, signed by Energy Secretary Raphael Lotilla on June 8, 2023, said the team would assist Congress and the President in continuously reviewing laws and policies relating to energy.
It said the PAA should serve as a basis for the DOE, the Energy Regulatory Commission and other relevant agencies to develop policies to attain secure, reliable and affordable supply of electricity.
“The PAA shall serve as basis for the DOE or the ERC to recommend to Congress any actions to be taken in respect of the franchise of the TNP [transmission network operator] and SO [system operator], and as basis for Congress to act upon such recommendations,” the order read.
It said the PAA may also serve as basis for the National Transmission Corp. and the Power Sector Assets and Liabilities Management Corp. to assess the performance of the TNP and SO of its obligations under the concession agreement dated Feb. 28, 2008.
“The PAA shall be conducted in a transparent, and timely manner with results thereof to be used for improving operations and performance, and for evaluating the level of implementation and compliance by the TNP and SO with the TDP [Transmission Development Plan],” the order said.
The DOE said the PAA would be part of the industry’s best practices and compliance of all transmission systems and facilities.
It would also served as the “basis for the ERC’s enforcement of an incentive and penalty system that ensures accountability of the TNP and SO in performing its mandate in ensuring the security and reliability of the grid while allowing non-discriminatory access to all grid users.”
The DOE said it may authorize any qualified entity to conduct the performance assessment and audit, in accordance with the provisions of the order and other relevant guidelines.
The order called for the designation of the supervising undersecretary of the Electric Power Industry Management Bureau as chairman and the supervising assistant secretary of EPIMB as vice chairman of the team.
The members will be composed of representatives from the Grid Management Committee , Philippine Electricity Market Corp. through its Market Surveillance Committee, PEMC Audit Committee, TransCo, PSALM and the ERC.
The audit committee will look at several areas including compliance, planning and engineering, environment, health and safety, operational, technical, customer services, information technology and management effectiveness.
