Holistic solutions needed to address energy woes, says NGCP

MANILA, Philippines — The National Grid Corp. (NGCP) has stressed the need for holistic and multilateral solutions to address current energy issues in the country.

In a statement, the NGCP said it continues to coordinate with the Department of Energy (DOE) and various stakeholders to address issues raised during previous hearings with the Senate and House Committee on Energy.

NGCP met with representatives from the DOE, Energy Regulatory Commission (ERC), TransCo, and other agencies yesterday to discuss the energy industry’s most pressing matters.

“We have always complied and will continue to comply with our mandate and the directives of concerned stakeholders,” the company said.

“NGCP is a private company, and while we appreciate the guidance and help of the power players, at the end of the day, the objective is not to focus on AS (ancillary services) alone. Let us work together to find a holistic solution to the problems we face,”the company said.

It is reviewing the existing contracts and capacities needed in terms of the AS.

The company is also awaiting clarification on some matters regarding DOE guidelines.

NGCP said addressing AS requires a deeper analysis of the problem, and a broader strategy than just firm contracting.

It sees this as crucial to effectively and efficiently comply with the directive to convert from non-firm to firm contracts,” the company said.

On the issue of delays in Grid Operations and Maintenance Program (GOMP) and Transmission Development Plan (TDP) submission, NGCP clarified that current delays experienced on the GOMP were borne out of clarifications sought from DOE as regards the company’s 2020 submission.

It has exhibited compliance with its submission of the 2021-2023 GOMP to DOE for approval last June 2021, endorsing the same to the Independent Electricity Market Operator of the Philippines (IEMOP) for concurrence.

“NGCP assures that for its future submissions, all maintenance plans which fall within the peak period will be rejected to prevent any issues on unscheduled power interruptions,”the company said.

Meanwhile, on the issue of NGCP’s audit, the company said the ERC’s compliance and performance review is ongoing. This involves the audit of the company’s operations,programs, and processes.

Preparations for the said audit began in September 2020, with the requested compliance documents submitted to the ERC last March 8.

“NGCP assures the public and its stakeholders that the company remains committed to cooperate with ERC and the auditors assigned to perform the review,” the company said.

Moreover, on the delays in the transmission line projects which were raised during a recent Senate hearing, the NGCP stressed that it regularly submits monthly Transmission Project Status Report (TPSR) to the DOE, as well as reports the status of permits/issuances and the status of expropriation cases filed by NGCP with concerned LGUs and agencies.

“NGCP has also been proactive in seeking the Department’s assistance to issues on permitting and right-of-way concerns, which are the major causes of delay for transmission projects across the country,”the company said.

“With all the issues raised, NGCP is calling on all energy players to work together and come up with a holistic approach to these problems,” it said.

NGCP is a Filipino-led, privately owned company in charge of operating, maintaining, and developing the country’s power grid, led by majority shareholders and vice chairman Henry Sy Jr. and co-vice chairman Robert Coyiuto Jr.

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