In the Know: What is the NGCP?
The National Grid Corp. of the Philippines (NGCP) is the consortium that operates the country’s electricity superhighway.
It includes the State Grid International Development Ltd., a subsidiary of State Grid Corp. of China (SGCC), with a 40-percent stake; Monte Oro Grid Resources Corp., a former unit of the Ricky Razon group, with 30 percent; and Calaca High Power Corp. with 30 percent.
In January 2009, NGCP took over the operation and management of the country’s power transmission grid from state-run National Transmission Corp. (Transco) in what was considered one of the biggest privatization moves in the country.
NGCP won the Transco concession agreement in December 2007. The Transco franchise was signed into law on Dec. 1, 2008, and took effect on Dec. 20, 2008.
The $3.95-billion 25-year concession deal could be extended for another 25 years. The franchise is good for 50 years.
NGCP paid $987.5 million (25 percent of the total amount) at the turnover. It was to pay the remainder in semiannual installments over 20 years.
In March 2010, OneTaipan Holdings of Henry Sy Jr. acquired Monte Oro’s 30-percent stake for $350 million.
The Coyiuto Group’s Calaca High Power and the Chinese Group’s State Grid Industry Development Ltd. retained their stakes in the company.
The NGCP website lists as board directors businessmen Sy and Robert Coyiuto Jr.; Zhu Guangchao, vice chief engineer and director general of International Cooperation Department of the SGCC; Jose Pardo, chair of Philippine Stock Exchange; Francis Chua, chair emeritus of the Philippine Chamber of Commerce and Industry Inc.; Anthony Almeda, chair and CEO of Alalmeda Land, Inc. and lawyer Paul Sagayo Jr.
The other members of the board are Shan Shewu, director general of the Philippine Office of SGCC; Liu Ming, who was the chief representative of SGCC’s Africa Office; and Liu Xinhua, an engineer.
In March 2018, Sy retired as NGCP president and CEO. Almeda took his place.
NGCP’s nationwide operations includes more than 21,000 circuit kilometers of lines, 20,000 transmission towers, and 140 substations.
Sources: Inquirer Archives, ngcp.ph
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