The Energy Regulatory Commission (ERC) has granted approval for the National Grid Corporation of the Philippines (NGCP) to proceed with the 500-kiloVolt Balaoan-Laoag transmission line project in the Ilocos Region, aimed at enhancing power in the northern Luzon area.
The ERC confirmed the project’s approval but noted the project cost of P20.65 billion is subject to optimization based on actual use and verified expenses incurred during construction. The project is critical in addressing the region’s growing energy demand.
NGCP said the transmission line will support the 1,200-megawatt coal-fired power plant in Luna, La Union and the 500-MW Coheco Badeo pumped storage hydroelectric facility in Benguet. The project is designed to accommodate renewable energy sources in the Ilocos and facilitate future load growth.
ERC chairperson Monalisa Dimalanta told reporters over the weekend that NGCP has been given until November 2026 to complete the project. Its construction will proceed in two stages, with the first stage requiring 57 months and the second stage taking another 70 months.
The transmission line is a key development ensuring the Ilocos region, which has seen an uptick in energy consumption, will have access to a reliable and stable power supply for years to come.
This development marks a significant step toward improving the country’s grid capacity, particularly in the northern provinces, as NGCP continues to expand its transmission infrastructure to meet the country’s growing energy needs.
