Republic of the Philippines

ENERGY REGULATORY COMMISSION

San Miguel Avenue, Pasig City
RESOLUTION NO. 18

,Series of 2015

A RESOLUTION ADOPTING THE GRID MANAGEMENT

COMMITTEE'S RECOMMENDATIONS TO EXEMPT
CERTAIN POWER PLANTS FROM THE CONDUCT
OF SYSTEM IMPACT STUDY AND CLARIFYING
AND EXPANDING THE REQUIREMENTS FOR A
THOROUGH CONDUCT OF FACILITIES STUDY
WHEREAS, paragraphs 814.2 and 814.3 of the Open Access
and Transmission Service (OATS) Rules recognize and present a
situation where a System Impact Study (SIS) may not be necessary.
Thus "B14.2 Determination whether SIS necessary.
After receiving the service application, the Transmission
Provider shall determine on a non-discriminatory basis,
whether a specific System Impact Study (SISl is
necessary to process the application, in addition to the
information already available from its own Grid Impact
Studies and any previous System Impact Studies. "
"B.14.3 Agreement on Service Application or
Offer of Service for SIS. If the Transmission Provider
agrees with the Service Application and considers no SIS
is necessary,
it shall so advise the Prospective
Transmission Customer xxx. If the Transmission
Provider determines that a specific SIS is necessary
in addition to that information already available as
outlined in 814.2, ..it shall so inform the Prospective
Transmission Customer within thirty (30) days from
receipt of the service application by issuing an Offer of
Service for SIS to the Transmission Customer." (Emphasis,
Ours.);

WHEREAS, while the OATS Rules recognizes and considers a

state or condition where the conduct of an SIS may not be necessary,
.it does not provide a specific criterion or parameter as basis therefor.
Taking cognizance of this inadequacy and to fill this void, the Grid
Management Committee (GMC) deems it wise and prudent

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EReResolution No. ~
Series of 2015
A Resolution Adopting the Grid Management Committee's Recommendations to Exempt Certain Power Plants from the
Conduct of System Impact Study and Clarifying and Expanding the Requirements for a Thorough Conduct of Facilities Study
Page2 of 5

recommend the following specific grid generating plant capacities to

be exempted from the conduct of SIS, to wit:
20 MW and below for Luzon rid; and
5 MW for Visa as and Mindanao rids
These capacities, as supported by studies, have no or
negligible impact on the grid and shall be connected only to a 69kV
line. The first 20 MW or 5 MW, as the case may be, to connect to a
69kV line is automatically exempted from the conduct of SIS.
Exemption of plants in excess of the recommended capacities is
subject to the determination of the National Grid Corporation of the
Philippines (NGCP) as contemplated in 814.3 of the OATS Rules in
relation to 814.2 thereof. ThusNew
Automatically exempted from SIS
69kV

Existing
69kV
20 MWor less

subject to the evaluation of NGCP

Expansion / New

WHEREAS, aside from defining and making certain the

capacities where an SIS may not be necessary within the
contemplation of 814.3 in relation to 814.2 of the OATS Rules, the
recommended exemption intends to expedite the application(s) for
connection of plant capacities within the recommended threshold to
avoid unnecessary costs and redundant processes, and encourage
the much needed resource build up, which will significantly contribute
to the adequacy, security, and reliability of the grid;
WHEREAS, in cases where an SIS is necessary, the GMC
recommends that the conduct of the SIS shall be made exclusive to
the NGCP as the Transmission Provider with the option to engage a
third party under its supervision and control and with full responsibility
and accountability therefor. The costs for the engagement by the
NGCP of the third party shall be borne by the applicant or the

prospeclive lransmission customer. However, in cases where ~

ERe ResolutionNo,~SerieS
of 2015
A Resolution Adopting the Grid Management Committee's Recommendations to Exempt Certain Power Plants from the
Conduct

of System Impact

Study and Clarifying

and Expanding

the Requirements

for a Thorough

Conduct

of Facilities

Study

Page 3 of 5

NGCP shall conduct the SIS, the costs thereof shall be deemed
included in the operational expenses of NGCP;
WHEREAS, to expedite the conduct and ensure the timely
completion of the SIS, the GMC recommended that the NGCP be
given a maximum of sixty (60) days within which to complete the SIS
reckoned from receipt of complete generator's data;
WHEREAS, as regards the Facilities Study (FS), the GMC
found that the OATS Rules do not specifically provide for the scope of
the FS and thus recommended the clarification and expansion of the
requirements therein for a thorough conduct of the FS. The FS shall
be the sole responsibility of the applicant or the prospective
transmission customer, who shall have the option to: (1) conduct the
FS itself; (2) engage a third party; or (3) engage the services of
NCGP to conduct the FS at its (applicant I prospective transmission
customer) costs. The GMC likewise recommended a maximum of
forty five (45) days from receipt, within which the Transmission
Provider shall review the FS conducted by the applicant or a third
party. Failure of the NGCP to comment or act on the FS within the
prescribed period shall be deemed an approval thereof;
WHEREAS, the GMC's recommendations were posted at the
ERC and GMC/DMC's websites on 08 June 2015, for comments of
stakeholders, which are already incorporated herein;
NOW THEREFORE, the ERC hereby RESOLVES to ADOPT
the Grid Management Committee's recommendations as follows:
1. Certain power plants shall be exempted from the conduct
of System Impact Study (SIS), particularly those directly
connected to the grid1 with capacities of 20 MW and
below in Luzon and 5 MW in Visayas and Mindanao
grids, which, as determined by the Transmission System
Provider. have no or negligible impact on the grid.
2. The Transmission Provider is designated as the sole
entity duly authorized to conduct an SIS with the option to
engage a third party under its supervision and control and
with full responsibility and accountability therefor. The
costs for the engagement by the NGCP of the third party
shall be borne by the applicant or the prospective
transmission customer. However, in cases where the
NGCP shall conduct the SIS, the costs thereof shall be
deemed included in its (NGCP) operation expense/--;
, As contradistinguished

from

embedded

generation

which requires

DIS.

...1!!.

ERCResolution No.
Series of 2015
A Resolution Adopting the Grid Management Committee's Recommendations to Exempt Certain Power Plants from the
Conduct of System Impact Study and Clarifying and Expanding the Requirements for a Thorough Conduct of Facilities Study
Page4 of 5

3. The Transmission Provider shall be given a maximum of

sixty (60) days within which to conduct the SIS, if the
same is necessary, reckoned from receipt of complete
generator's data.
4. The requirements for the conduct of Facilities Study (FS)
set forth in the Open Access Transmission Service
(OATS) Rules, are clarified and expanded as follows:
(1) The requirements for the existing connections to the
grid shall also be made applicable to (a) new
connections;
and (b) modifications
to existing
connections.
(2) The scope of the Facilities Study shall be well defined
by the Transmission Provider.
(3) For grid specific requirements, the NGCP shall
provide the prospective transmission customer the
following:
3.1 For Telecommunications I SCADA
3.1.a. Specific technology applicable
(user specific); FO/MW/PLC;
3.1.b. Schematic I Connection Diagram; and
3.1.c. Technical Specifications
(RTU, Communication Protocol, etc.)
3.2 For Protection System
3.2.a Protection scheme (user specific);
3.2.a.1. Single Circuit I Double Circuit;
3.2.a.2. Conventional Generation;
3.2.a.3. New Technology (Type % Wind
Power Plant I Solar PV Power Plant);
3.2.a.4. Load Customers; and
3.2.a.5. Setting Guidelines;
3.2.b. Protection Single Line Diagram; a%

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.ilL

ERCResolution No.
Series of 201S
A Resolution Adopting the Grid Management Committee's Recommendations to Exempt Certain Power Plants from the
Conduct of System impact Study and Clarifying and Expanding the Requirements for a Thorough Conduct of Facilities Study
Page 5 of 5

,i '

3.2.c. Technical Specifications.

5. The FS shall be the sole responsibility of the applicant or the
prospective transmission customer, who shall have the
option to: (1) conduct the FS itself; (2) engage a third party;
or (3) engage the services of the NGCP to conduct the FS at
its (applicant/prospective transmission customer) costs.
6. The Transmission Provider shall be given a maximum of
forty five (45) days upon receipt, within which to review the
FS conducted by the applicant or a third party. Failure of the
NGCP to act or comment on the FS within the prescribed
period shall be deemed an approval thereof.
This Resolution shall take effect fifteen (15) days after its
publication in a newspaper of general circulation.
Let copies of this Resolution be furnished the University
of the Philippines Law Center - Office of the National Administrative
Register (UPLC-ONAR), the Department of Energy (DOE), the
National Transmission Corporation (TRANSCO), the National Grid
Corporation of the Philippines (NGCP), the Philippine Electricity
Market Corporation (PEMC), and all the other parties concerned.
SO ORDERED.
Pasig City, October 20, 2015.

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... .. -

~..~ --

JOSE VICENTE B. SALA~

Chairperson w

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ALFRE[}O I I NON
Comm'issidner

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A. MAGPALE - ASIRIT

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Commls~, er,
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GERONIMO D. STA. ANA

/
Commissioner

ERC Resolution No. 18, Series of 2015

Copy Furnished:

1.

NATIONAL GRID CORPORATION OF THE PHILIPPINES

Power Center, Quezon Avenue corner BIR Road
Diliman, Quezon City 1128

2.

Philippine Electricity Market Corporation

18th Robinsons Equitable Tower
ADB Avenue, Ortigas Center, Pasig City

3.

DEPARTMENT OF ENERGY
PNOC Complex, Merritt Road
Fort Bonifacio, Taguig, M.M.

4.

NATIONAL TRANSMISSION CORPORATION

Power Center, Quezon Avenue corner BIR Road
Diliman, Quezon City 1128

5.

GRID MANAGEMENT COMMITTEE (GMC)

20th floor, Pacific Center Building
San Miguel Avenue, Ortigas Center, Pasig City