Sen. Risa Hontiveros —Senate PRIB
MANILA, Philippines — Why is the government allowing the National Grid Corporation of the Philippines (NGCP) to rake in billions of pesos in profits despite its failure to avert power outages, Sen. Risa Hontiveros asked on Friday as she blamed the company for power interruptions.
Hontiveros was referring to the outages in the provinces of Nueva Ecija, Aurora, Pampanga and Zambales on Sept. 12.
After seven power plants went offline and three others generated less than their capacities, power reserves went down and caused the outages.
While acknowledging that more than 200 power plants have operational problems due to their age and fuel source, she insisted the NGCP—which operates the state-owned power grid—should be held liable for delays in upgrading its facilities.
Hontiveros noted that NGCP earned nearly P188 billion in dividends in the first 10 years of its 25-year concession contract.
“Why is there no improvement [in its services]?” she asked.
Hontiveros said the NGCP had failed to complete 127 transmission projects in different areas while only 36 projects were finished on time.
But the NGCP, in a statement on Friday, said it pursues the completion of its projects fully cognizant of the role it plays in economic development and blamed delays to political interference and bureaucratic red tape.
“To date, we have invested more than P260 billion in grid projects and improvement initiatives,” said lawyer Cynthia Alabanza, spokesperson for the NGCP.
“The unfortunate delays in permit processing and expropriation cases, as well as the political interference and undue influence exerted by prominent local personalities have pushed the completion timelines further back,” Alabanza added.