Infrastructure and governance experts urged the government to prioritize the upgrading of the transmission grid to achieve national energy security.
“The ERC [Energy Regulatory Commission] should tighten oversight on the completion of these critical infrastructure projects, which would hopefully strengthen the electricity value chain and prevent higher electricity cost for consumers,” InfraWatch PH convenor Terry Ridon said during a forum entitled on energy security and sustainable development organized by the Stratbase ADR Institute.
Ridon cited various ways to address the critical issues surrounding the energy grid, including ensuring the independence of regulatory agencies, developing clear and specific standards and performance metrics for energy companies to follow, and harsher penalties for non-compliance to these standards.
“This will serve as a strong deterrent for companies considering cutting corners or violating regulations. To further promote accountability, compliance data should be publicly accessible to promote transparency. This will allow the public to be informed about the operations of energy companies and their adherence to regulations,” Ridon said.
Ridon said the NGCP’s commitment to invest P300 billion in grid improvements is a step in the right direction.
“However, juxtaposed with the delayed implementation of projects critical to the integration of renewable energy, this figure is not as reassuring as it might initially appear. As the country moves toward renewable energy sources, the speed and efficiency with which the NGCP operates will be crucial in determining the success of this transition,” he said.
Stratbase ADR Institute President Dindo Manhit said the government should work hand-in-hand with the private sector in pursuing a long-term energy exploration and transition objective, and open itself to domestic and foreign investments in infrastructure.
“This includes building more power plants, modernizing the electricity distribution system, expanding transmission networks, and enhancing energy storage. Energy cost and stability are a significant determinant of the level of interest of businesses to set up shop in the country. Investments mean jobs, income, spending power, technology transfer, and, ultimately, economic activity and growth,” he said.