THE National Grid Corporation of the Philippines (NGCP) has maintained that it is a Filipino-led company.
NGCP assistant vice president for system operations Clark Agustin clarified before the House Committee on legislative franchises that NGCP abides by the internal procedures outlined under the Philippine Grid Code.
“Decisions are based on established procedures. Mayroon para sa maintenance at mayroon din para sa emergency (There’s for maintenance and there’s for emergency),” Agustin said, adding that there are control centers in Luzon, Visayas and Mindanao.
“If you decide to cut off power for the entire country, wala pong ganun (there was no such thing). Wala rin pong central control point na single button (There is also no central control point that is single button,” Agustin said.
He also allayed worries about the China-made equipment used by NGCP for its operation, saying China is a technical partner allowed by government.
“No midnight deal transpires. The NGCP is transparent in all its actions and transactions,” he told the panel chaired by Parañaque Rep. Gus Tambunting.
He also insisted that the NGCP is a Filipino-led company, with 60 percent of its shares owned by Filipinos.
The consortium comprised of Monte Oro Grid Resources Corp., the Calaca High Power Corp., and the State Grid Corp. of China won the bidding for the operation of the country’s transmission grid to the tune of $3.95 billion.
Monte Oro Grid Resources and Calaca own 60 percent of the merger, while State Grid holds 40 percent, meeting the law’s requirement for foreign investors, Agustin explained.
Agustin’s statement came as Rep. Gerville Luistro of Batangas expressed concerns over potential foreign control of the NGCP, pointing to the presence of Chinese nationals in critical leadership and technical positions at the operator of the country’s power grid.
Luistro questioned NGCP’s compliance with constitutional provisions requiring 60 percent Filipino ownership and the exclusive appointment of Filipino citizens to executive and managerial positions.
Luistro cited evidence from NGCP’s records, including its General Information Sheet (GIS) which she said revealed Chinese nationals occupying key positions such as chairman of the board, as well as the involvement of NARI Group Corp., a Chinese IT infrastructure provider, in NGCP’s operations.
“It is indeed my humble submission that while, based on the General Information Sheet of NGCP, only 40 percent is Chinese-owned, considering, however, the presence of Chinese citizens—one as chairman, the other two as evaluators of bids, the other one as chief technical officer, and NARI, which I believe is Chinese IT infrastructure—it seems that control over the NGCP has been compromised already in favor of foreign nationals,” Luistro noted.