Transco to launch national off-grid system by August

MANILA, Philippines — State-run National Transmission Corp. (TransCo) is targeting to launch a national off-grid system operator (SO) system in August.

“The launch of the full operations for the Island control centers and the National Control Center for Island SO is targeted in August 2022,” TransCo said in the latest Philippine Energy Plan (PEP) 2020-2040.

This follows the memorandum order issued by the Department of Energy (DOE) in February last year mandating TransCo to be the off-grid SO for any small-grid or off-grid power system with more than one power supplier.

To meet this target, TransCo is working on plans to operate as off-grid SO in Palawan, Mindoro, Catanduanes and Marinduque.

“Currently, preparatory works for the development of a business plan for the islands of Palawan, Mindoro, Catanduanes and Marinduque, which involves organizational, operational, legal, financial, and regulatory aspects are underway,” it said.

Last November, TransCo president Melvin Matibag said the first island province targeted by the agency as off-grid SO is Mindoro.

“The one in Mindoro, we already started the process last September. We had the meeting with Oriental Mindoro Electric Cooperative Inc. (ORMECO) for the process of doing their systems operations,” he said.

This comes after the National Power Corp. (Napocor) completed the transmission line loop interconnecting Oriental and Occidental Mindoro in October, which allows the two provinces to trade power supply, minimize systems loss, and enjoy a more reliable electricity supply.

The next island province being eyed for off-grid SO is Catanduanes, where TransCo plans to construct a transmission asset connecting the island to a main island for electric supply.

In May last year, TransCO signed a memorandum of agreement (MOA) with First Catanduanes Electric Cooperatives Inc. (FICELCO) to construct and install submarine cables interconnection of Catanduanes to the Luzon grid.

The deal covers the construction and installation of 69-kilovolt (kV) sub-transmission submarine electric cable lines from Presentacion/Caramoan, Camarines Sur, to Codon, Catanduanes.

The island interconnection will also benefit all consumers in the country since FICELCO will no longer need subsidies that reflect in the consumer’s electricity bills as Universal Charges for Missionary Electrification (UCME).

TransCo will also perform all functions of SO in optimal dispatching of power plants to achieve least-cost generation of electricity and real-time control of the power grid to maintain a stable, secure, reliable and efficient power system.

A government-owned-and-controlled corporation operating under the DOE, TransCo is the owner of the country’s power transmission assets, which is managed and operated by the National Grid Corp. of the Philippines (NGCP) under a congressional franchise and a concession agreement.