President Marcos Jr. yesterday said the government is streamlining the processes to fast track the completion of energy infrastructure projects and eventually catch up with the rising demand for electricity.
The President, in an interview on the sidelines of the ceremonial energization of the Cebu-Negros-Panay (CNP) 230-kilovolt Backbone project in Bacolod City yesterday, cited the case of the National Grid Corporation of the Philippines (NGCP) whose projects have been behind schedule for “many years.”
Marcos said permits such as those from the Energy Regulatory Commission (ERC) or the Environmental Compliance Certificate from the Department of Environment and Natural Resourcestake two to three years before they are released which affect the timeline of the projects.
“We are fast-tacking (these projects, we’re) trying to do (these) as quickly as possible because many programs of NGCP have been sleeping for a long time. We’re doing everything that we can on the government side also to finish these projects,” he said in Filipino.
“It’s been taking two to three years. It should take much less than that. So, we’re streamlining the system,” he added.
The ceremonial energization of the CNP was held simultaneously at NGCP’s Bacolod Substation led by Marcos, and the NGCP’s Barotac Viejo Substation in Iloilo, and Magdugo Substation in Cebu.
Prior to the event, the President conducted an aerial inspection of the Bacolod-Gahit Transmission Line and site inspection of the Bacolod Substation.
The P67.9-billion CNP grid will address the surging energy demands in the area and propel the socio-economic advancement of the Western and Central Visayas regions. The two regions contributed P2.24 trillion to the economy in 2022.
The CNP project, composed of CNP1, CNP2, CNP3 and Negros-Panay Interconnection Project Line 2 (NPIP L2), is expected to increase the transfer capacity among Cebu, Negros, and Panay islands and the dispatch of excess capacities from Mindanao to meet the demand in the Visayas grid. It will also accommodate the development of new power plants in the Visayas grid.
In an interview on the sidelines of the inauguration ceremonies, Cynthia Alabanza, NGCP assistant vice president and head of public relations department, said the company as early as last year has applied with the Energy Regulatory Commission (ERC) for the provision of additional submarine cables for CNP to further boost its capacity.
NGCP said it will take will take five years before the entire capacity of CNP can be fully utilized.
“These types of equipment (cables) are not something that can be easily available in the market… So, as early as last year, March 2023, we applied to the ERC for additional capacity for the submarine cable so that we’re always ahead,” Alabanza said.
“We really need to project future power demand and we are hopeful that our policy makers and regulators can quickly approve our required approvals to pursue these projects that are forward looking and will ensure that we stay ahead of the curve,” Alabanza added.
The CNP backbone which also include the Negros-Panay interconnection project line 2 is comprised of three stages, the last of which was completed on March 27.
The project complements the existing Amlan-Samboan submarine cable which is currently utilized to connect Cebu and Negros islands. The first stage of the project added a new 230 kV transmission line while the second stage upgraded the Cebu substation into 230kV level.
The CNP is also comprised of 670 transmission towers spanning 442 circuit kilometers of overhead lines, 98.9 circuit kilometers of submarine cables with 10 new substations and the expansion of two existing major substations.
The project was filed for approval with the ERC in four stages as early as 2013 with the third stage of the project filed in 2016 with a project cost of P43.41 billion.
However, the ERC granted a provisional approval for only one year’s worth of capital expenditure amounting to P176.75 million in 2017 and has yet to issue a final approval.
Line 2 of the Negros-Panay interconnection project is pending approval.
“While the CNP will help improve the delivery of power, this is not the sole or primary solution to the woes of power consumers, particularly in Panay. Sufficient power generation supported by reliable transmission is the formula for optimized energy development. This will support the country’s push towards economic recovery,” NGCP said in a separate statement. Jocelyn Montemayor and Jed Macapagal
