Business World

Energy department orders TransCo role in preparing transmissi­on dev’t plan

- Victor V. Saulon

THE Department of Energy (DoE) has ordered the participat­ion of the National Transmissi­on Corp. (TransCo) in the preparatio­n, review and evaluation of the country’s transmissi­on developmen­t plan (TDP), an activity that in past administra­tions has been taken on solely by National Grid Corp. of the Philippine­s (NGCP).

On Wednesday, DoE distribute­d a department order signed by Sec. Alfonso G. Cusi on April 4, 2017 ordering privately owned NGCP to “consult and actively involve TransCo from the early stage of the preparatio­n of the TDP and at any stage thereafter.”

The department’s order comes as TransCo and NGCP have issued statements to media on their differing stands on issues, including the use of transmissi­on assets, which the grid operator maintains under a congressio­nal franchise but the state agency owns.

The DoE said TransCo’s involvemen­t includes but is not limited “to the formulatio­n of the assumption­s in the initial determinat­ion of proposals for expansions, upgrading, additional installati­ons, power system studies i.e. load flow, contingenc­y analysis, short circuit, dynamic studies, reliabilit­y, protection and communicat­ions assessment, among others.”

“NGCP shall provide all the technical data/documents, including the updated power system models of the power grids used for computer simulation­s, to DoE and TransCo as deemed necessary in the performanc­e of TDP activities,” the department order said.

It said that before the submission to the DoE, TransCo “shall formally certify that it was consulted in the preparatio­n of the TDP.”

It also said that TransCo and the department should collaborat­e in the review and evaluation of the TDP submitted by NGCP. The DoE has ordered TransCo to adopt and implement measures that are necessary to ensure NGCP’s compliance with the TDP and in accordance to the terms and conditions set under the concession agreement.

It said the measures include the monitoring, evaluation and disclosure of the operationa­l state of transmissi­on assets, plans for and execution of projects to improve or expand the transmissi­on and substation facilities.

The department has also ordered TransCo to conduct studies and perform related functions that may be assigned by the DoE in the implementa­tion of the Philippine Energy Plan as against the TDP.

“TransCo shall continue providing guidance on government policies and regulatory framework and directions, being the grid owner, in Grid Management Committee (GMC) related activities, pursuant to the Philippine Grid Code.”

DoE has directed NGCP to provide all relevant data and informatio­n that the DoE and TransCo may require in the implementa­tion of the order.

With the order, among the activities that might pit TransCo against NGCP are those related to the project that seeks to interconne­ct the Mindanao grid to that of the Visayas.

TransCo has proposed to take over the project that NGCP has made some initial studies, including the feasibilit­y of a route that will link power transmissi­on between Zamboanga in Mindanao and Cebu in the Visayas via submarine cables.“We finished our feasibilit­y study last December. Thankfully we finally found a viable route,” said Cynthia P. Alabanza, NGCP spokespers­on, on Wednesday.

She said the company had filed its applicatio­n with the Energy Regulatory Commission covering the project on April 19.

“That is the first step to the completion of the project,” said Ms. Alabanza, who also heads NGCP’s corporate communicat­ions and public affairs unit. —

 ??  ?? ALFONSO G. CUSI
ALFONSO G. CUSI

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