ERC asked to junk Iloilo City’s bid to join suit vs NGCP

The Independent Electricity Market Operator of the Philippines says the downtrend in Wholesale Electricity Spot Market prices may continue if there would be no unforeseen plant outages. Photo shows the power transmission towers and lines in Laguna and Rizal provinces. JIRE CARREON/RAPPLER PHOTO
Photo shows the power transmission towers and lines in Laguna and Rizal provinces. JIRE CARREON/RAPPLER PHOTO

BY GEROME DALIPE IV

ILOILO City – The National Grid Corporation of the Philippines (NGCP) has asked the Energy Regulatory Commission (ERC) to deny the motion for intervention of the Iloilo City Government relative to the implementation of the 230-kilovolt (kV) Cebu-Negros-Panay (CNP) backbone project stage 3.

Mayor Jerry P. Treñas has confirmed the NGCP opposed the intervention filed by the city government, which sought to participate in the hearing of the case by the ERC regarding the implementation of NGCP’s approved capital expenditure (capex) projects.

Treñas said the City Legal Office has filed the reply to NGCP’s opposition to their motion for intervention. The ERC has yet to act on the motion.

The Iloilo City Council approved on February 21 the motion of city hall lawyers to represent the city government to file any action before proper courts or quasi-judicial agencies relative to the massive power outage from January 2 to 5, 2024.

The city council also approved giving the city lawyers the authority to intervene and participate in the hearing of the case against NGCP before the ERC.

Once granted, city lawyers Edgardo Gil, GV Eutiquio Cunada, Llonil Virtebo, and Joseph Edward Areño will also represent the city government in the proceedings on the hearing of the case relative to the show cause order issued against NGCP over the implementation of power transmission projects.

These projects include 230-kV CNP backbone, Iloilo Substation 3×100 MVA 138/69-13.8-kV power transformers, and the Panay-Guimaras 138-kV Interconnection project.

“The intervenor City of Iloilo is an electric end-user who by itself and together with its residents, end-users by themselves as well, fell victim to the massive power outage that ravaged the island of Panay and Guimaras,” read the pleading.

In particular, the city lawyers are authorized to enter into an amicable settlement on the case or to simplify the issue. They can also make admissions and stipulations of the facts and formally offer exhibits or limit the number of witnesses.

The city lawyers may also represent the city government during the mediation or other modes of alternative dispute resolution including proceedings during Judicial Dispute Resolution.

They can also enter into a compromise agreement or amicable settlement with the adverse party, prior conformity, approval, and ratification of the city council, and sign and execute any pleading and certification against forum shopping, among others.

President Ferdinand Marcos Jr. led the ceremonial energization of the 230-kV CNP backbone project 3 in Barangay Mansilingan, Bacolod City on Monday, April 8.

The completion of the CNP3 means available transmission capacity for the generation of 400 megawatts (MW) for Panay Island and 500 MW for Negros.

The P67.9-billion CNP 230-kV backbone project, composed of CNP1, CNP2, CNP3, and Negros-Panay Interconnection Project Line 2 (NPIP L2), aims to strengthen the grid and improve the reliability of power transmission in the islands of Cebu, Negros and Panay.

It involved the construction of a high-voltage transmission line and associated substations to connect the islands of Cebu, Negros, and Panay.

The CNP3 project will also increase transfer capacity among Cebu, Negros and Panay islands and the dispatch of excess capacities from Mindanao to meet the demand in the Visayas grid.

The additional 230-kV submarine cable between Negros and Panay will allow full dispatch of the power plants in Panay and power exchanges between the islands in anticipation of the projected increase of peak demand of 953.3 MW by 2029./PN

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