POWER system operator National Grid Corp. of the Philippines (NGCP) will be building a new transmission backbone to carry added power capacity in Mindanao at a cost of P6.86 billion, details of the decision released by the Energy Regulatory Commission (ERC) show.

“A perusal of the evidence presented herein showed that NGCP’s application for the approval of the Mindanao 230 kV (kilovolt) Transmission Backbone Project is in accordance with the provision of Republic Act No. 9136 or the Electric Power Industry Reform Act (EPIRA) of 2001,” the ERC said in its decision, which was docketed in its records on March 29.

The transmission service provider applied for the 230-kV line in April 2015. Its project was submitted for ERC resolution in July 2016 after a series of hearings. The decision was signed by ERC Chairman and Chief Executive Jose Vicente B. Salazar along with the four commissioners.

“The approval of the project will redound to the benefit of its consumers in terms of continuous, reliable and efficient power supply as mandated by Section 2 and Section 9 of the EPIRA,” ERC said in its decision, which was distributed to reporters on Tuesday.

Major project components include a 230-kV transmission line traversing Matanao, Davao del Sur; Toril, Davao City; and Bunawan, Agusan del Sur; with substations in Malita, Davao Occidental; Matanao, Toril and Bunawan. The project also covers the energization at 230 kV of the transmission line running through Baloi, Lanao del Norte; Villanueva, Misamis Oriental; Maramag, Bukidnon; and Bunawan, with substations in Baloi, Villanueva and Maramag.

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