Razon-led Iloilo power firm seeks P2-B capex
By Myrna M. Velasco – February 15, 2021, 7:00 AM
from Manila Bulletin
Razon-led MORE Electric and Power Corporation (MORE Power) has applied for P1.982 billion worth of capital expenditures (capex) with the Energy Regulatory Commission (ERC) for the reinforcement and expansion of its power distribution network in Iloilo City.
In its filing with the regulatory body, the utility firm stipulated that P1.004 billion worth will be funneled to major capex projects; P829.116 million will be earmarked to residual capex projects; and P148.863 million will be spent for non-network projects.
MORE Power asked ERC that it be “immediately issued a provisional authority or interim relief authorizing and/or confirming the implementation by applicant MORE of the capex projects.”
The regulatory body has already satisfied the publication requirement of MORE Power’s capex application; and it has also been directing relevant parties to join the virtual public hearings that it will schedule soon.
For the company’s major capex projects, the big-ticket items include the development of the 50/62.5 megavolt ampere (MVA) Megaworld gas insulated substation (GIS) and its associated sub-transmission and distribution lines which will require an investment of P449.375 million; the development of a 50/62.5 MVA General Luna substation for P256.357 million; and a mobile substation that will command cash call of P150.642 million.
The other major capital projects will be the development of the Banuyao 69-kilovolt switching station and Baldoza 69kV line reconfiguration and metering; as well as the procurement of transportation equipment.
The residual capital projects will include: replacement of various sub-transmission lines; replacement of breakers, disconnect switch, protective relays, control panels and various accessories; reconductoring of various distribution lines; new connections; replacement of defective meters; purchase of new distribution transformer; monitoring and testing of metering instrument transformer accuracy; monitoring of system loss at secondary distribution system; installation of feeder recloser; replacement of padlocks, disconnect switch and meter box enclosure; and purchase of engineering test equipment.
The non-network projects will cover building improvement; office furniture and fixtures; engineering analysis tool, leasehold improvement, communication equipment and other intangible assets, among others.
MORE Power said the implementation of its capex projects is necessary and justified and will directly benefit the consumers of Iloilo City in terms of improved system reliability, stability and safety and improved customer services.
The firm added “the projects are reasonably priced, having been procured and implemented following the accepted practice of competitive bidding.”
