power and water

Marcos open to taking back control of NGCP

Bea Cupin

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Marcos open to taking back control of NGCP

COORDINATION. President Ferdinand Marcos Jr. leads the multisectoral meeting of different government agencies at Malacañang Palace on April 11, 2023.

Yummie Dingding/PPA Pool

Malacañang says the President supports the Senate probe into the performance of the National Grid Corporation of the Philippines and 'if necessary, the government will take back control of the entity'

MANILA, Philippines – President Ferdinand Marcos is now open to taking back control of the National Grid Corporation of the Philippines (NGCP) “if necessary,” amid power shortages in different areas around the country.

Malacañang made the statement on Wednesday, May 17, in a statement released prior to a Senate probe into the power supply crisis in Occidental Mindoro and the Panay Island power supply situation.

Senator Raffy Tulfo had apparently informed the President of plans to probe the NGCP, a privately-owned company that holds the franchise to operate, manage and maintain the national power grid. Phe grid was operated by government-owned and controlled National Transmission Corporation (TransCo) from 2003 to 2009.

Malacañang said that Tulfo, who chairs the Senate energy committee, had told Marcos that he wants to “assess the performance” of the NGCP and review security issues around it, since it is 40% owned by the State Grid Corporation of China.

“The President agreed with the senator’s proposal to conduct a comprehensive study or hold hearings to determine the actual situation. If necessary, the government will take back control of the entity,” the Presidential Communications Office said in its statement.

It’s not the first time Marcos or Malacañang spoke about the power supply issues plaguing parts of the country. In early May, Marcos had mulled “augmenting” power distribution in Negros and Panay islands. The President, whose wife has Negrense roots, had pointed out the “irony” in having power issues in the area – while distribution is an issue, it has a surplus of power supply. Back then, however, he thumbed down the idea of a government takeover.

Senator Sherwin Gatchalian, vice chairman of the energy committee, is also questioning why the NGCP is already supposedly charging customers for projects that are not yet onstream. At least 71 projects of the NGCP are delayed, the senator said in an interview with ANC ahead of the May 17 Senate hearing.

Gatchalian, like Tulfo, also agreed that China’s stake in the NGCP is a security concern. He has also flagged the Energy Regularity Commission and the country’s intelligence and security sector for still not coming out with an audit of the NGCP and national power grid’s performance and security.

Gatchalian said he had always thought it was a bad idea to privatize the operations of the national power grid. But since that’s already the situation, he said, government should also be “careful” about the message it sends to potential foreign investors. – Rappler.com
 

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Bea Cupin

Bea is a senior multimedia reporter who covers national politics. She's been a journalist since 2011 and has written about Congress, the national police, and the Liberal Party for Rappler.