NGCP: Playing vital role in country’s power sector

MANILA, Philippines -  It’s only been five years but there are a lot of reasons to pop the champagne bottles.

This in essence is how the National Grid Corp. of the Philippines (NGCP), the country’s grid operator, described its fifth year in the business.

“The first five years really is cause for celebration. A strong power system is the basis for a strong economy,” said NGCP spokesperson Cynthia Alabanza.

In a press briefing held during NGCP’s fifth anniversary celebration recently, Alabanza said the company’s story is an example of the success of privatization under the Electric Power Industry Reform Act (EPIRA) of 2001.

“Our story is a good example of the success of privatization,” Alabanza said.

She said that privatization has allowed the NGCP to improve the country’s grid system.

“Because it’s privatized, we have resources to push forward our projects. We have projects that can be pursued,” Alabanza said.

One example of this is the so-called Leyte-Mindanao Interconnection Project (LMIP), which NGCP hopes to complete by 2018. The project involves connecting the Visayas grid to the Mindanao grid through 23 kilometers of submarine cables from NGCP’s Leyte and Surigao substations.

In 2008, NGCP  won a 25-year concession to run the country’s transmission assets after it took over the management of the assets of the country’s national transmission network from state-owned National Transmission Co.

It won in a public bidding, which was undertaken in accordance with privatization thrusts of RA 9136 or the EPIRA, the power reform law.

The company is a privately owned corporation in charge of operating, maintaining and developing the country’s power transmission network.

It is a joint venture between State Grid Corp. of China and Henry Sy Jr., the eldest son of mall magnate Henry Sy, whose company operates the SM Mall chain.

Regarding the LMIP, Cynthia Manrique, head of NGCP’s Revenue Regulatory Affairs said the company would be submitting a report to the Energy Regulatory Commission (ERC), the country’s power regulator, possibly within the first quarter of the year to provide an update on the status of the project.

The project is seen as key to addressing Mindanao’s power woes, as it will allow sharing of reserves during periods of shortfall between the two grids.

“Our president has assured the public NGCP will do what is necessary to help in the problem of Mindanao. That’s just one of the many achievements that we attained in the last five years,” Alabanza said.

Aside from LMIP, Alabanza said there would be more projects to come.

During the anniversary celebration last January 15, Energy Secretary Carlos Jericho Petilla also recognized NGCP for its five-year work.

“Five years ago, recognizing the significance of a revitalized and improved transmission system, the government decided to privatize the management of our power lines across the country. Today, we are slowly seeing the fruits of that decision as we celebrate the fifth year of the National Grid Corp. of the Philippines,” he said.

He said that managing the country’s transmission assets is no easy feat.

“But, by the way NGCP is running things right now, we couldn’t imagine anyone else doing a better job than them. As we can see and say, NGCP is at the forefront of every challenge we have faced,” Petilla said.

He cited NGCP’s efforts, along with the National Electrification Administration and other distribution utilities and electric cooperatives, in restoring the power facilities during and at the aftermath of the onslaught of Super Typhoon Yolanda. 

“From the linemen up to the management, NGCP never faltered and continues to give hope to the people through the thorough restoration and installation of transmission towers and lines in the areas. This shows your company’s notable sense of commitment and how you value public service more than anything else. In this sense, you are more than ready to face any obstacle that might emerge in the future,” Petilla said.

Petilla said that better public service always results from the confluence of the government and the private sector.

“NGCP must always give its best foot forward as a significant player in the power industry to help the government in its thrusts and causes for the people. We are confident that with ‘stronger transmission for a stronger nation’ as your mantra, NGCP supports our objective of providing reliable electricity to the people and consequently an essential partner of the government in nation-building.” He said.

He urged the company to remain innovative and creative in the years to come to provide solutions to the power industry’s challenges that would benefit the people.

For his part, NGCP president Henry Sy Jr. said that the company would continue to prove itself as a relevant player in the power industry.

“Five years is only the dawn in a day of many, many more successes. We still have many upgrades to do, more lines to construct and more typhoons to withstand. Let us not lose our determination in doing these and more to serve the Filipino people.

To all employees – linemen, substation engineers, technicians, dispatchers, and support staff – who contributed in their own way to the success of NGCP, thank you very much for the loyalty and dedication,” Sy said.