Synergy Grid and Development Philippines Inc. said Friday the National Grid Corporation of the Philippines complied with its obligations under its franchise.
NGCP, the operator of the country’s transmission network, is SGP’s sole operating asset.
“NGCP believes and is confident that it has complied with its obligations under its franchise and the concession agreement and it shall continue to comply with all lawful directives and pursue its mandate faithfully,” SGP said in a disclosure to the Philippine Stock Exchange.
SGP said NGCP relies on its overall good performance and service track record to defend against allegations of violations.
NGCP holds a 25-year concession and a 50-year Congressional franchise to expand and operate the country’s power transmission grid.
NGCP is the sole and exclusive operator of the Philippines’ nationwide transmission network linking power generators and distribution utilities to deliver electricity to end-users across Luzon, Visayas and Mindanao.
“NGCP has been investing hundreds of billions to strengthen the transmission system. Since taking over in 2009, transmission rates have gone down,” SGP said.
“Based on the ERC’s findings on performance metrics, transmission services have significantly improved. NGCP has doubled substation capacity and constructed substantial transmission lines all over the country including inter-island connection projects,” the company said.
NGCP said it invested P300 billion to ensure the reliability of the country’s transmission highway since it took over operations from the government.
NGCP reacted to the statement of Malacanang to “take back control” of the transmission firm, if necessary.
“We have faith in the legal process and we will continue to comply with all lawful directives, and pursue our mandate faithfully,” the company said.
Malacanang supported Senator Raffy Tulfo’s move to access the performance of NGCP, including security issues.
“NGCP is fully cognizant that its franchise is a privilege granted to it by government. We remain ready to answer any and all questions raised concerning how we do business,” the company said.
“We are confident that the improvements we have introduced and the P300 billion we have invested to strengthening the transmission system will be recognized,” it said.
NGCP is a Filipino-led, privately owned company in charge of operating, maintaining and developing the country’s electricity transmission grid, led by majority shareholders and vice chairman of the board Henry Sy Jr. and co-vice chairman Robert Coyiuto Jr.