The Energy Regulatory Commission (ERC) has approved Giga Ace 8 Inc.’s plan to build and own about P2.84 billion in transmission facilities to connect its solar power project in Zambales to the national grid. 

In a decision dated 16 December, the ERC approved the company’s application to develop dedicated point-to-point facilities linking the Giga Ace 8 Solar Power Project to the National Grid Corporation of the Philippines’ (NGCP) 230-kilovolt Botolan substation.

“The prayer for the authority of GA8 to develop and own the subject facilities to connect its GA8SPP to the Grid through a direct connection to the 230kV Botolan Substation of the NGCP is APPROVED, subject to certain conditions,” the ERC said.

Necessary to supply electricity to the grid 

The commission said the facilities are necessary for the solar project to supply electricity to the grid. 

Giga Ace 8 plans to dispatch power through the Wholesale Electricity Spot Market and may later enter into contracts with retail electricity suppliers.

The ERC clarified that only facilities considered dedicated point-to-point limited transmission assets may be developed and owned by Giga Ace 8. 

Assets located inside NGCP’s Botolan substation were excluded from the approval.

“GA8 is NOT AUTHORIZED to develop and own the assets for the Second Facility which are not dedicated point-to-point limited transmission facilities,” the ERC said.

The regulator also ordered that NGCP operate and maintain the facilities to protect grid reliability.

Facilities operation, maintenance shall be through NGCP

“The Commission resolves that the operation and maintenance of the subject facilities shall be through NGCP, to ensure and maintain the reliability, adequacy, security, stability, and integrity of the power system,” the ERC said.

The ERC directed Giga Ace 8 to pay P21.26 million in permit fees and said the approval is without prejudice to the company’s obligation to secure a separate certificate of compliance before starting commercial operations.