NGCP energizes P10.2 billion Hermosa-San Jose line

MANILA, Philippines — The reliability of the Luzon transmission backbone is expected to improve further with the energization of the P10.2 billion Hermosa-San Jose 500-kiloVolt (kV) transmission line.

The National Grid Corp. of the Philippines (NGCP) said the transmission line, which is an energy project of national significance, was energized last Saturday at 7:22 a.m.

The power transmission grid operator said the project would strengthen transmission services and accommodate new bulk power generation from the Bataan area.

The transmission line spans the provinces of Bulacan, Pampanga, and Bataan.

“The Hermosa-San Jose 500-kV project is a major component in our planned Luzon 500-kV transmission backbone,” NGCP said.

“Despite many challenges, our teams worked 24/7 to complete this facility. With the energization of the line comes the improved transmission from generation sources towards the load center Metro Manila and nearby provinces,” the company said.

Aside from the new transmission line from Bulacan to Bataan, NGCP said the project includes the construction of a new Hermosa 500-kV substation, which will enable better voltage regulation and power transfer from existing 230-kV facilities in the area.

NGCP said the project was provisionally approved by the Energy Regulatory Commission (ERC) with a cost of P10.2 billion.

The company said the ERC, however, has only allowed the partial recovery of P19 million or less than one percent of the actual project cost.

Given the urgent need to widen the transmission highway along the Bataan corridor, NGCP said it implemented the project, setting aside for later the issue on recovery approvals from the ERC.

“Our priority has and will always be doing what is best for the public. Financial considerations can take a back seat and be threshed out later,” said Henry Sy Jr., major stockholder and the company’s former president and CEO.

“We hope to correct the impression that the consumers are somehow shortchanged with how rates are computed. Our commitment has never wavered: we serve the public, and we work within the legal and regulatory framework of our concession and franchise,” Sy said.

NGCP has committed to complete other critical projects in Visayas and Mindanao in the coming months.

“Our stakeholders can be assured that we will continue our grid improvement, expansion, and reinforcement initiatives to deliver quality and reliable transmission services,” the company said.

The P52 billion Mindanao-Visayas interconnection project (MVIP) has been energized by NGCP on April 30 with an initial load of 22.5 megawatts (MW).

The MVIP’s transfer capacity will be gradually increased, with its full transfer capacity of 450 MW targeted to be reached by the third quarter.

As the country’s sole power grid operator, NGCP said it has significantly expanded the country’s transmission network since it took over transmission operations from the government in 2009, with investments reaching P300 billion.

It has also previously committed to spend P440 billion in capital expenditures from 2021 to 2033 to further expand and strengthen the country’s transmission network.

NGCP holds a 25-year concession and a 50-year Congressional franchise to expand and operate the country’s power transmission grid.