Cummins gets ERC approval to run power plant

The Energy Regulatory Commission has allowed local firm Cummins Sales and Services Philippines Inc. to operate its 5.8-megawatt diesel power plant and serve off grid areas in Marinduque.

With the certificate of compliance from ERC, Cummins Sales, which already has a power supply contract with the small power utilities group (SPUG) of state-run National Power Corp., will be able to operate the seven-unit diesel facility over the next five years.

A COC is a pre-requisite to the commercial operation of a power generating plant. It is valid for five years and must be renewed six months prior to its expiration. A COC helps ensure that power plant operators will deliver electricity in a clean, safe, dependable and sustainable manner.

The ERC said the decision to issue COC to the company was made after an evaluation that found Cummins Sales’ power plant compliant with technical, financial and environmental standards, as well as with the Philippine Grid Code and Distribution Code, the wholesale electricity spot market (WESM) rules, environmental and other applicable laws.

Under the COC rules, power generating entities must also abide by the market share limitations. The limitation, however, does not apply to isolated grids that are not connected to the high voltage transmission

system.

Cummins Sales facilities are located in an isolated grid that is not connected to the transmission backbone of National Grid Corporation of the Philippines (NGCP). This means the company is not subject to the grid and national grid installed capacity limitations set by the ERC. Amy R. Remo