by Myrna Velasco, 16 June 2015
from Manila Bulletin
After making its way through legal hurdles on its implementation, the 600-megawatt Subic coal-fired power facility has gained another milestone with regulatory approval on its connection to the power grid.
The regulatory body has emphasized that “the contract for the supply of materials for the proposed project will be assigned to qualified suppliers and contractors following a competitive bidding and selection process.”
Project funding, it was noted, will be sourced through equity and loan of the corporate sponsors led by Meralco PowerGen, the affiliate firm of power utility giant Manila Electric Company.
The industry regulator has been apprised that “the cost estimates were based on a per unit cost estimate of the transmission line pre-engineering contractor for the first 8.0 kilometers of the transmission line.”
In the ERC approval, it directed that NGCP “shall operate the dedicated point-to-point transmission facilities subject to applicable charges.”
Project developer RPE was similarly ordered to develop and construct the connection facilities in accordance with system impact study (SIS) and feasibility study requirements “so as not to result in the degradation of NGCP’s transmission system.”
Being designed as a dedicated facility, it was noted that the transmission asset must be used solely by the Subic plant and once it is utilized by other facilities, the ownership will be automatically transferred to the country’s transmission network operator.