Lawmaker floats gov't takeover of NGCP 'system operations' | ABS-CBN

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Lawmaker floats gov't takeover of NGCP 'system operations'

Lawmaker floats gov't takeover of NGCP 'system operations'

ABS-CBN News

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Updated Jan 11, 2024 04:29 PM PHT

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MANILA — A senator on Thursday proposed to expand government involvement in the operations of the National Grid Corporation of the Philippines.

Sen. Sherwin Gatchalian said the government could take over the system operations of the NGCP, while the private company retains the transmission operations.

He pointed out that in other jurisdictions, "different entities own the lines and expand the lines, and different entity operates the lines and that's the system operator."

"The theory behind there is there's check and balance within these two," Gatchalian, chair of the Senate energy committee, told ANC.

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At present, 40 percent of the NGCP is owned by the State Grid Corporation of China, with the remaining 60 percent owned by Filipinos.

"Because of market power [and] national security, it is important that the government has a say--whether a 100 percent or 60 percent," Gatchalian said, noting that the proposal needs an enabling law.

Gatchalian put forward his proposal as the Senate reviews the franchise of the NGCP, which is blamed for the massive power outage that hit Panay Island. The NGCP insisted that it had followed protocols and called for an industry-wide review of the blackout.

This also comes after House Speaker Martin Romualdez floated the idea that the country's first sovereign and development fund invest in the NGCP. Maharlika Investment Corp's President and CEO Rafael Consing Jr. supported Romualdez's idea.

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