NGCP eyeing P2.8 billion grid upgrade in Ilocos

MANILA, Philippines — The National Grid Corp. of the Philippines (NGCP) is seeking regulatory approval for a P2.82-billion power transmission upgrade in Ilocos Norte to accommodate more renewable energy (RE) projects.

The NGCP has filed an application with the Energy Regulatory Commission (ERC) for the immediate implementation of the Laoag Power Quality Improvement Project, which aims to resolve voltage fluctuations in the Ilocos region.

The Laoag substation has been experiencing power issues due to the high concentration of variable RE (VRE) plants such as solar and wind in the region, the grid operator said.

In Ilocos Norte alone, at least 546 megawatts (MW) come from intermittent RE sources, or facilities whose output fluctuates depending on natural conditions.

Voltage fluctuations may worsen as an additional 405 MW of VRE capacity is also expected to come online.

“Through the implementation of the Laoag Power Quality Improvement Project, the maximum allowable VRE generation dispatch can be increased, addressing current limitations caused by voltage fluctuation,” the NGCP said.

Considering that construction of transmission facilities takes several years, the NGCP highlighted the need to align its project development with the expected demand.

The ERC, meanwhile, found NGCP’s application sufficient in form and scheduled a hearing for determination of compliance with the jurisdictional requirements, expository presentation and pre-trial conference on Feb. 10.

A private sector-backed corporation, the NGCP is responsible for the development, operation and maintenance of the country’s electrical superhighway.

Recently, the ERC approved the grid operator’s proposed construction of the P11.86-billion Claver-Siargao Interconnection Project, which seeks to expand transmission capacity on Siargao Island.