ERC Approves NGCP’s La Trinidad-Calot Line Project
The Energy Regulatory Commission (ERC) approved the application of the National Grid Corporation of the Philippines (NGCP) for its La Trinidad-Calot 69 kV Line Project. The subject transmission line project, with an estimated cost of approximately PhP644 Million, aims to provide a single outage contingency as required in the Philippine Grid Code (PGC) and improve the reliability and transfer capacity of the transmission line. “The NGCP’s new La Trinidad – Calot 69 kV Transmission Line will address the expected transmission overloading and will serve as a back-up in times of contingency or a failure in the transmission system. The project involves the construction of a transmission line using new right-of-way and de-commissioning of some portions of the old circuit line”
, ERC Chairperson and CEO Agnes VST Devanadera clarified.
The ERC’s approval of the La Trinidad-Calot 69 kV Line Project is subject to optimization based on its actual use and/or implementation during the reset process for the next regulatory period, as stated in the Rules for Setting the Transmission Wheeling Rates (RTWR) and other relevant issuances of the ERC. Optimization involves the removal of redundant assets and over-capacity, including inefficient design and “gold-plated” engineering within the existing network. NGCP is also required to conduct competitive bidding for the purchase of major materials in the implementation of the proposed projects. Furthermore, the remaining old or existing line that will be dedicated to Benguet Electric Cooperative, Inc.’s (BENECO) Sanitary Camp and Irisan should be reclassified as Subtransmission Asset and be divested to BENECO.
The NGCP, under the Electric Power Industry Reform Act (EPIRA), is required to seek the ERC’s prior approval of any plan for expansion or improvement of its facilities in the pursuit of its mandate to construct, install, finance, improve, expand, rehabilitate, and repair the country’s transmission system and the grid.“ERC approved this application of the NGCP for its La Trinidad – Calot 69 kV Transmission Line based on our evaluation that the benefits of the project outweigh its cost. Electricity consumers will be benefited with this NGCP project in terms of having sustainable electricity and continued economic growth, not only in the Province of Benguet, but in the entire Luzon region”
, ERC Chair Devanadera averred.