The Energy Regulatory Commission (ERC) has authorized Solar Philippines Tanauan Corp. (SPTANC) to develop and own dedicated point-to-point limited transmission facilities to connect its 50-megawatt Tanauan solar power plant in Batangas to the distribution system of Manila Electric Co.’s (Meralco) CIP 2 Substation.
The approval allows SPTANC to proceed with the P1.417-billion dedicated transmission facilities, which will connect the solar plant to Meralco’s distribution system via a bus-in scheme to the Meralco CIP 2 115kV Line.
The ERC said these dedicated facilities should be used solely by the generating facility and developed and constructed according to the Distribution Impact Study (DIS) and Distribution Asset Study (DAS).
It said the development should not degrade Meralco’s distribution system. The metering point will be at the connection point, adhering to the Philippine Distribution Code (PDC).
The ERC also ruled on the ownership of the assets. It said that if any portion of the dedicated facilities is required for competitive purposes or to connect other users, ownership should be immediately transferred to Meralco as a contribution in aid of construction (CIAC) to prevent double recovery.
The ERC, however, did not authorize SPTANC to develop and own a second facility—a 115kV Switching Station near the connection point—as these assets were deemed distribution assets rather than dedicated limited transmission facilities.
Given that SPTANC has already completed this second facility, the ERC mandated its immediate turnover to Meralco.
The connection facilities are necessary to enable SPTANC to dispatch its generated energy through an existing power supply agreement (PSA) with Meralco.
The Tanauan solar plant holds a provisional authority to operate (PAO) valid from Feb. 24, 2025 to Feb. 23, 2026. The ERC’s evaluation determined the approved facilities are dedicated point-to-point limited transmission facilities because their removal would only disconnect the Tanauan solar plant.
The commission also required Meralco to operate and maintain the dedicated connection facilities, including periodic inspection and regular assessment of poles and wire conditions, consistent with previous rulings for embedded generating plants.
