ERC Gives Go-signal to NGCP’s Taguig Extra High-Voltage Substation Project
The Energy Regulatory Commission (ERC) approved the application of the National Grid Corporation of the Philippines (NGCP) for its Taguig Extra High-Voltage (EHV) Substation project that will serve as another drawdown substation to decongest the San Jose EHV Substation, and provide higher level of reliability to the Luzon Grid system. The proposed Taguig EHV project, which is to be implemented starting 2019, is expected to incur a total estimated cost of PhP9.7 Billion.
“The approval of the NGCP’s Taguig Extra High-Voltage (EHV) substation project will address the growing power demand and power import in Metro Manila. Additional capacities that will be injected into the transmission network by new power generators will soon be accommodated through this project, which will mean a sustainable and reliable supply of power”, ERC Chairperson and CEO Agnes VST Devanadera explained.
Apart from the decongestion of the San Jose EHV Substation, the Taguig EHV Substation will also ease the existing 230 kV single-circuit line from Quezon to Muntinlupa during emergency situations, such as grid failure, and address the severe under voltage in the 230 kV substations within Metro Manila due to the single-circuit configuration and heavy loading condition of the Quezon-Doña Imelda-Paco-Muntinlupa 230 kV Transmission Line.
In addition, the Taguig EHV Substation will complement the plan of linking the new drawdown substation to Taytay 230 kV Substation, as the Project will make an additional 230 kV transmission line link to the said Taytay Substation.
ERC’s approval of the Taguig EHV Substation is anchored on the condition that the 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 entails the removal of redundant assets and over-capacity, including inefficient design and “gold-plated” engineering (incorporation of costly and unnecessary refinements into the structure) within the existing network. NGCP is also required to conduct competitive bidding in the implementation of the proposed projects.