New power grid operator asks for continued cooperation
By Danny O Sagun
Dagupan City (2 February) -- The new operator of the national power transmission grid has asked for continued cooperation among stakeholders as it promised to transform itself into a "better, more efficient, world-class organization."
Walter W. Brown, president and chief executive officer of the National Grid Corporation of the Philippines (NGCP), assured that the privatization of the nationwide transmission grid operations and other reforms in the power industry were being undertaken for the benefit of power customers as envisioned by the Electric Power Industry Reform Act of 2001.
NGCP took over operations from the National Transmission Corporation (Transco), a government-owned firm, on January 15 this year. The private corporation - a consortium of Monte Oro Grid Resources Corporation, Calaca High Power Corporation, and State Grid Corporation of China - won the bidding in December 2007 a for a 25-year concession agreement to operate, manage and expand the high voltage power grid. The agreement is extendable for 25 years.
The Philippine Congress granted NGCP a 50-year franchise, which was signed into law by President Macapagal-Arroyo on December 1 last year.
Brown, in his January 28 letter to the Philippine Information Agency Pangasinan office, said a residual Transco organization was organized to ensure NGCP's compliance with the terms and conditions of the concession agreement and monitor its compliance with regulatory laws, rules and regulations. It will also handle all existing cases, including right of way claims and other actions and claims retained by Transco under the concession agreement, divest remaining sub-transmission assets to qualified distribution utilities, and provide consultancy and technical services for the management of the power distribution systems.
"We wish to take this opportunity to thank you as our reliable partner in serving our customers, the community and the country," Brown said in his letter. "Your valuable support through the years has helped Transco become one of the country's most respected government corporations," he also said. (PIA Pangasinan) [top]