Regulatory push lifts power approvals

Approved power capacity in the country nearly doubled in the second quarter of the year amid an accelerated issuance of permits and regulatory actions that cleared 6,150 megawatts (MW) in just four months.

Based on the latest data from the  Energy Regulatory Commission (ERC), permitted installed capacity rose from 5,548 MW at the end of March to 11,698 MW by the end of June, driven by sharp increases in the release of Certificates of Compliance (COCs), Provisional Authorities to Operate (PAOs), and other regulatory issuances.

“With the Commission’s faster approvals and strengthened enforcement, the ERC is actively boosting the country’s power infrastructure and reinforcing regulatory efficiency in the energy sector,” ERC Chairperson and CEO Monalisa C. Dimalanta said Friday. 

“This also shows our commitment to ensuring that our regulated entities, especially the power providers, deliver on their obligations, as this would directly benefit Filipino consumers, encourage more investments, and contribute to the overall resilience of our energy systems,” she added.

The ERC more than doubled its COC issuances, from 1,064 in the first quarter to 2,137 in the second quarter, representing a 100.8 percent increase. 

Of this total, net-metering qualified end-users accounted for the bulk, with 1,696 COCs issued, up from 868 in Q1, or a 95.3 percent jump. Approvals for Self-Generating Facilities rose 170 percent to 254 from just 94 in the previous quarter.

Certifications for Distributed Energy Resources more than doubled from 8 to 18, while Independent Power Producers (IPPs) received 12 COCs, up from 8 in the first quarter. PAOs granted to IPPs also surged by 82 percent — from 86 in the first quarter to 157 in the second quarter.

In the same period, the ERC issued 240 regulatory orders and decisions, marking a more than fivefold increase from the 41 issuances in the first quarter. This includes 154 Show Cause Orders, a 1,440 percent jump from just 10 in the previous quarter, reflecting the agency’s intensified enforcement efforts.

The Commission also acted on 50 applications for Provisional Authority Orders related to Power Supply Agreements, of which 39 were approved and 11 denied. 

Decisions on Point-to-Point transmission facility applications, on the other hand, nearly tripled, rising from 6 in January to March to 17 by the end of June. 

Meanwhile, for the National Grid Corp. of the Philippines’ capital expenditure applications, the number of orders issued increased from 10 to 19.