ORIENTAL MINDORO, Dec. 4 (PIA) -- The Energy Regulatory Commission (ERC) has issued a certificate of compliance (COC) to Cummins Sales and Services Philippines, Inc. (CSSPI) for the power plant that it has set-up in Brgy. Bantad, Boac, Marinduque.
CSSPI has a five-year power supply contract with the National Power Corporation–Small Power Utilities Group (NPC-SPUG).
The ERC, upon inspection and evaluation, found CSSPI’s power plant facilities to be compliant with the technical, financial and environmental standards set in ERC’s Rules for the Issuance of Certificate of Compliance (COC) for Generation Companies/Facilities (COC Rules). CSSPI was also found to be compliant with the Philippine Grid Code and Distribution Code, the WESM Rules, environmental and other applicable laws.
A COC is a pre-requisite to the commencement of the commercial operations of a power generating plant. A COC helps to ensure that power plant operators will deliver electricity in a clean, safe, dependable and sustainable manner.
As a general rule, power generating entities, under the COC Rules, must abide with the market share limitations provided in Section 4(a), Rule 11 of the Implementing Rules and Regulations (IRR) of the Electric Power Industry Reform Act (EPIRA). This is to guard electricity consumers against abuse of market power. The limitation, however, does not apply to isolated grids that are not connected to the high voltage transmission system. CSSPI is located in an isolated grid that is not connected to the transmission backbone of the National Grid Corporation of the Philippines (NGCP). Thus, it is not subject to the grid and national grid installed capacity limitations periodically set by the ERC.
CSSPI is a corporation primarily engage in the sale and provision of services for engine and related products. It was registered with the Securities and Exchange Commission (SEC) in August 2001.
ERC Chairperson and CEO Zenaida G. Cruz-Ducut said, “The ERC is glad that the island of Marinduque is served by a power generation company that is compliant to the financial, technical and environmental standards set by the ERC.”
Ducut also emphasized that the commission has to strictly monitor the compliance of power providers to the ERC’s rules and regulations so that a steady supply of quality and reliable electricity service supply is provided to consumers. (LBR/PIA-4B)