TransCo, GNPower seek ERC nod to fasttrack transmission line

State-owned National Transmission Corp. (TransCo) and GNPower Co. Ltd. have sought the approval of the Energy Regulatory Commission (ERC) to fasttrack the construction of the Hermosa-Limay transmission line.

The acceleration of the transmission project will allow the two power firms to start the operation of 600-megawatt (mw) Mariveles coal plant in Bataan.

GNPower is a partnership between Power Partners Ltd. Co. and fund manager PMR Holding Corp. The group is composed of American and Nauran investors. TransCo, on the other hand, is a spin-off company of the National Power Corp. (Napocor) that runs the country’s transmission highway.

Scheduled to be operational in 2010, the Hermosa-Limay will allow simultaneous full dispatch of the proposed Mariveles coal plant of GN Power.

GNPower is planning to begin the construction of the P44 billion Mariveles coal plant this year.

The operation of the power plant is seen as a concrete step in averting a power crisis that could hit Luzon grid by 2010.

The coal-fired facility will sell power to 10 distribution utilities and Lopez-controlled Manila Electric Co. (Meralco) is looking at securing 100 mw of power supply from GNPower that would serve the electricity needs of its customers.

At present, GNPower has an agreement with three local suppliers for the supply of low rank coal for the coal plant. It did not disclose the identities of the coal suppliers.

GNPower is also the first licensed retail electricity supplier (RES) approved by ERC to legally engage in marketing activities for its retail electricity supply business and secure supply contracts with prospective end-users.