Mactan:The Energy Regulatory Commission (ERC) has granted the National Grid Corporation of the Philippines (NGCP) provisional authority to acquire a battery energy storage system (BESS) in Mactan, Cebu. This acquisition is to be made from East Asia Utilities Corporation (EAUC), a subsidiary of Aboitiz Power Corporation.

According to Philippines News agency, the ERC issued this provisional authority for the ancillary services procurement agreement (ASPA) while the NGCP continues its full review of the BESS unit. The ERC prioritized this action in response to the tight reserve situation in the Visayas, aiming to enhance firm reserves available to the grid. This decision aligns with the Department of Energy's (DOE) initiative, led by Secretary Sharon Garin, to utilize battery storage as an immediate measure to address the current challenges in the Visayas.

The DOE had previously instructed the NGCP to secure ancillary services to mitigate the yellow and red alerts in the Visayas grid. These alerts are due to low capacity and high demand, exacerbated by the forced outages of several power plants. This year alone, from January to early September, the Visayas grid experienced 123 yellow and red alerts.

DOE Undersecretary Mario Marasigan highlighted the necessity for immediate procurement of BESS and power barges as solutions to the grid's low capacity issues, especially with the impact of the strong El Niño. He also expressed optimism that upcoming power projects, expected to go online by next year, will proceed as scheduled to meet the high demand caused by the ongoing dry spell.