THE National Grid Corp. of the Philippines (NGCP) on Friday said it is reviewing new Energy Regulatory Commission (ERC) rules that allow other entities to build transmission facilities, citing its existing concession agreement with the government.
NGCP is a privately owned consortium responsible for operating, maintaining and developing the country’s state-owned power transmission grid.
“NGCP recognizes the importance of timely transmission development in support of the country’s energy security objectives,” NGCP said, adding that it is evaluating the rules in relation to its rights and obligations under its concession agreement, Republic Act 9511 and other applicable laws.
The company said it would take the necessary steps to protect the integrity of the country’s transmission system.
On June 11, the ERC approved rules allowing entities other than NGCP to finance and construct Department of Energy-designated associated transmission projects and priority projects.
These include transmission lines, substations, switchyards, and other facilities needed to connect new power generation capacity and strengthen the power grid.
The move could raise questions about NGCP’s concession agreement, which grants the company the exclusive right to develop and operate the country’s transmission network.
