Solon backs

DOE review of grid operator

By Rio N. Araja

CAMARINES Sur Rep. LRay Vil- lafuerte has backed the Department of Energy’s (DOE) performance review of the National Grid Corp. of the Philippines (NGCP), saying that once completed, it could help enlighten Congress on what actions to take to address the subpar. performance of the country’s sole power grid operator.

“Congress needs to decide soon enough on whether to alter or amend NGCP’s franchise agreement to compel it to upgrade its system and spend a sizable chunk of its earnings on interconnecting our major islands, or to revoke its franchise altogether and award it to a much better concessionaire so the government can deliver cheaper and more stable and accessible electricity to consumers — and meet President Marcos’ goal of achieving 100 percent household electrification by 2028,” he cited.

He said he is hoping that “the DOE could complete at the soonest its NGCP performance audit, which, hopefully, can help us lawmakers reach a consensus on what actions we have to take to reverse the below par performance of our lone power grid operator in terms of preventing major power disruptions, and compelling it to complete its transmission projects as scheduled and spending bigger on interconnecting our major islands.” an inquiry into the government’s readiness to reduce the impact of the El Niño phenomenon that is expected to persist until the first quarter of next year.

Gatchalian, the chairperson of the Senate Committee on Ways and Means stressed there is an urgent need to assess the capability of concerned gov- ernment agencies and determine the planned interventions to mitigate the impact of El Niño.

“The entire Philippine government should be prepared to cushion the detrimental effects of the El Niño phenomenon on the country’s food, energy, and economic security,” he emphasized.

The weather phenomenon could diminish the agriculture sector’s contribution to the country’s gross domestic product (GDP).

Based on a 2019 World Bank report, recurring El Niño occurrences in the country are estimated to cause national GDP losses ranging from -0.29% to

-1.57% and agricultural GDP losses between -1.73% and -6.9%, Gatchalian said.

“Had El Niño emerged in 2022, it could have translated to estimated losses of P57.84 billion to P313.11 billion in national GDP and between P30.85 billion and P124.31 billion in the agricultural sector’s GDP, based on the country’s economic data.”

Gatchalian recalled previous El Niño occurrences brought drought nationwide and water supply shortages due to lower-than-average rainfall in the country, greatly affecting farmers who rely heavily on rainfall for their livelihood.