The Energy Regulatory Commission (ERC) has approved the creation of a technical working group (TWG) to investigate the damage caused to the National Grid Corporation of the Philippines’ (NGCP) transmission line in Cebu, a development with significant power supply and commercial activity implications in the region. The decision follows an incident in 2023 when a Department of Public Works and Highways (DPWH) contractor accidentally damaged the 138-kilovolt Cebu-Mandaue underground power line during excavation work.
The line damage forced the NGCP to temporarily reduce power supply to parts of Visayan Electric Co. and Mactan Electric Co., potentially limiting electricity availability for businesses in key areas of Cebu, a hub for trade and tourism. Although the NGCP managed to restore one of the affected lines by June that year, providing full service once again, the investigation seeks to determine accountability, assess technical and legal concerns, and formulate new rules to prevent similar incidents in the future.
ERC chairman Monalisa Dimalanta explained that while an initial technical assessment was completed, the TWG will address broader market and legal issues to ensure a comprehensive solution. “This will also include rules to address similar incidents moving forward, which could affect how contractors work near critical infrastructure,” Dimalanta said.
The TWG could have far-reaching consequences, particularly for businesses relying on stable power supply in Cebu, where the power grid plays a crucial role in commercial operations. Any disruption, even if temporary, can affect everything from manufacturing to retail, as businesses face higher operational costs and potential revenue losses during power interruptions.
The investigation’s outcomes may also set new precedents for how infrastructure projects are managed and monitored, with an eye toward mitigating risks that could impact the nation’s growing energy needs.
