NGCP eyes P36B power project

The National Grid Corp. of the Philippines, operator of the national transmission network, is eyeing to undertake the P36-billion Cebu-Negros-Panay interconnection project to absorb the additional 420 megawatts in new capacity that will be installed in Panay by 2016.

In a briefing Wednesday, Giovanni R.A. Galang, NGCP deputy department manager, explained that the proposed project involves the construction of a 230-kilovolt backbone and the installation of 50 kilometers of submarine and 131 kilometers of overhead cables.

This infrastructure can accommodate an additional 400 MW.

Galang said, however, that the huge project was being weighed against a cheaper alternative—the P2.8 billion Negros-Panay Interconnection Uprating Project (NPIUP) Phase 2—which can accommodate 90 MW in new capacity.

The NPIUP Phase 2 will allow power interchange between Negros and Panay, which means that the contracted supply from power plants outside Panay can be reliably transported to customers in Panay.

Conversely, contracted supply from power plants in Panay can be reliably transported to customers outside Panay.

Also, the project is expected to ensure reliable power supply and voltage regulation, particularly in Negros Occidental, where there are few power plants.

According to Galang, the Cebu-Negros-Panay interconnection project would also be a good option as it can accommodate a bigger capacity, if indeed all the proposed power plants that would generate that 420 MW will go online by 2016.

However, the project cost is a huge consideration since any investment that NGCP will make will have to be recovered from the consumers.

According to Galang, the Cebu-Negros-Panay interconnection project may be deferred if the power plants will be constructed in ideal locations, which are closer to the load centers, or areas of high electricity use, to avoid longer and more expensive interconnection projects.