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Manila Bulletin devider Business devider NGCP earmarks P160-B capex for projects until 2025

NGCP earmarks P160-B capex for projects until 2025

Published Apr 21, 2022 02:45 pm

Transmission firm National Grid Corporation of the Philippines (NGCP) will be allotting mammoth capital expenditures (capex) of P160 billion to bankroll its programmed projects until year 2025, which are aligned with its 5th tariff regulatory reset filing with the Energy Regulatory Commission (ERC).

NGCP noted it “continues to invest in undertakings for the improvement of the power transmission grid,” with the company emphasizing that “we are working on applying smart grid technologies to ensure reliable, efficient, and safe operations and create a world-class transmission network.”

Part of the capex allotment is for its operations and maintenance O&M) spending, which had been earmarked with a budget of P22.3 billion under its tariff application as anchored on the performance-based ratesetting (PBR) methodology prescribed by the ERC.

The O&M capital will be used for substation and transmission line reliability projects, upgrading of O&M tools and equipment, as well as network facility improvement with the introduction of smart grid technology.

A total of P7.1 billion have been allotted for the company’s system operations projects, which include upgrading of the SCADA/EMS system, expansion of grid-related telecommunications facilities, further enhancements of cybersecurity systems, and power quality monitoring.

“Besides the capex intended for projects, investments on infrastructure development for NGCP’s information technology network, security, aviation, and facilities are also included in the capex proposal to the ERC,” the transmission firm stressed.

The company also highlighted that transmission facilities and other projects are still in pre-construction stage while completion of some facilities may stretch until year 2028.

Major transmission projects include those in Metro Manila -- the Pasay 230kV substation; Manila (Navotas) 230kV substation, Marilao extra high voltage substation, New Antipolo 230kV substation, Taguig extra high voltage substation, Taguig-Taytay 230kV transmission line; and the Taguig-Silang 500kV transmission line.

“To meet the forecasted load growth in Metro Manila, three major 500/230kV drawdown substations will be developed around Metro Manila,” the company said. These specified projects shall be sited in Taguig City; Marilao, Bulacan; and Silang, Cavite.

NGCP indicated the drawdown substations shall be “complemented by the development of additional 230/115kV substations in Antipolo, Navotas, and Pasay.”

Once the facilities are completed, the reliability of power transmission delivery to Metro Manila will be addressed through the development of new transmission corridors in Metro Manila such as the Taguig-Silang 500kV and Taguig-Taytay 230kV lines.

Core component of the NGCP projects includes island interconnection facilities of the Palawan-Mindoro and Batangas-Mindoro grids, which are in their pre-construction stages .

“The proposed interconnection of Mindoro island with the Luzon grid was envisioned to provide access to bulk generation sources in the main grid, while at the same time providing the means to export possible excess power within the island,” the power firm added.

It further noted that “the nearest connection point in the Luzon grid for the planned island interconnection project is the proposed Pinamucan 500kV substation in Batangas, while Calapan would serve as the interconnection point in Mindoro.”

NGCP also noted of a parallel study exploring prospects of interconnecting Palawan to Mindoro to enable these island-grids to draw more reliable electricity service from the main grid.

Related Tags

#NGCP #CAPEX #TRANSMISSIONPROJECTS #INTERCONNECTION #SMARTGRID #PBR #ERC
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