Meralco seeks ERC nod for installation of power transformer

By Lenie Lectura – July 10, 2020
from Business Mirror

The Manila Electric Co. (Meralco) has sought approval from the regulators to carry out the emergency installation of one 83MVA power transformer, worth P70.78 million, in the Tegen substation in Manila.

“The application filed by Meralco for the approval of its emergency capital expenditure project is hereby approved with modification,” the Energy Regulatory Commission (ERC) said in its 56-page decision.

The ERC said Meralco’s proposed facility shall be subject to optimization based on its actual use during the reset process for the next regulatory period. It also has to pay the commission P530,836.74 for a permit.

Meralco said the new transformer would prevent “massive and prolonged power interruption” in the area where the Tegen substation is located.

The said substation serves the Manila area including major and vital customers such as Malacañang Palace, LRT Lines 1 and 2, Manila City Government, Philippine General Hospital, Supreme Court of the Philippines, Manila Hotel, Adamson University and Mapua Institute of Technology.

Meralco said the emergency installation of the new power transformer and the de-energization of transformer bank no. 8 will improve the Tegen substation’s power transformer banks for loading and will also reduce the system loss annually by 867,942 kilowatt hour.

In granting Meralco’s application, the ERC explained that it is crucial for Meralco to immediately implement the replacement of the defective transformer at the Tegen substation to continuously provide electricity to the area.

“By implementing the project, power interruptions in the affected areas would be avoided and Meralco’s customers would not be burdened with higher line losses that would have resulted form the load shifting,” said the ERC.