NGCP’s P20.6 billion Ilocos grid project gets ERC approval
By Brix Lelis – December 9, 2024 | 12:00am
from The Philippine Star
In a resolution dated Nov. 26, the Energy Regulatory Commission (ERC) approved NGCP’s proposed Balaoan-Laoag 500-kilovolt (kV) transmission line project that will connect La Union and Ilocos Norte.
BusinessWorld / File
MANILA, Philippines — The National Grid Corp. of the Philippines (NGCP) has secured regulatory approval for the implementation of a major grid development in the Ilocos region worth about P20.65 billion.
In a resolution dated Nov. 26, the Energy Regulatory Commission (ERC) approved NGCP’s proposed Balaoan-Laoag 500-kilovolt (kV) transmission line project that will connect La Union and Ilocos Norte.
The transmission line project, the ERC noted, is subject to “optimization based on its actual use and verified expenses incurred during the reset process for the subsequent regulatory period.”
This is scheduled for completion by November 2026, according to ERC chairperson and CEO Monalisa Dimalanta.
The Balaoan-Laoag project is among NGCP’s 15 proposed grid developments expected to benefit electricity consumers in terms of “continuous, reliable and efficient power supply,” the ERC said.
Last month, the ERC authorized the NGCP to proceed with the development of its two other projects in Luzon: the P17.09-billion Bolo-Balaoan 500-kV transmission line and the P16.8-billion Northern Luzon 230-kV loop project.
The grid operator had also received the green light to proceed with the construction of the P4.2-billion Nabas-Caticlan-Boracay project in the Visayas and the P2.34-billion Laguindingan 230-kV substation project in Northern Mindanao.
Dimalanta earlier said the approval of these transmission projects demonstrated the ERC’s commitment to “ensuring the reliability, security and affordability of our country’s electricity supply.”
“It is thus critical for the NGCP to ensure the efficient and timely completion of the projects so we can further boost the ability of our grid to absorb new power capacities needed to meet the growing demand of our communities, businesses and industries,” she added.
Under its 2024-2050 Transmission Development Plan, the NGCP has allocated over P600 billion to complete over 100 capital expenditure projects in the pipeline.
A privately owned corporation, the NGCP is responsible for the operation, maintenance and development of the state-owned power grid.
The ERC, on the other hand, is mandated to ensure “adequate promotion of consumer interests and customer choice; promote competition; encourage market development and penalize abuse of market power.”
