The Department of Energy (DOE) has moved to fast-track critical transmission developments, designating the National Transmission Corporation (TransCo) to take charge of the planning, financing and construction of priority transmission projects.
In a news release issued Wednesday, the DOE said Department Circular No. DC2026-02-0007 empowers TransCo to push through with the projects and prevent further setbacks in their installation and completion. The directive comes amid mounting concerns that transmission bottlenecks could stall new power capacity and disrupt long-term energy plans.
The department identified priority projects as those aligned with the Philippine Energy Plan and long-term energy security objectives; those that support generation, interconnection and rising demand; and projects previously delayed by interventions.
The DOE underscored the risks of inaction, warning that delays in transmission facilities “can hinder the alignment of generation and grid development programs, constrain the timely entry of new capacity, and weaken investor confidence.”
Under the circular, “TransCo may engage one or more government agencies, government-owned and -controlled corporations (GOCCs), or qualified private entities to implement Priority Projects on their behalf” through competitive bidding, unsolicited proposals subject to a Swiss Challenge, or partnership arrangements. The provision gives TransCo broad latitude to mobilize both public and private sector resources to accelerate delivery.
The Energy Regulatory Commission (ERC) has been tasked with issuing a regulatory framework to ensure clear and predictable processes, a move aimed at tightening oversight while removing procedural bottlenecks.
“Transmission readiness is a prerequisite for meaningful progress in the energy transition,” Energy Secretary Sharon Garin said.
“By establishing a clear framework for priority projects, anchored on accountability, transparency, and stronger coordination, this policy is expected to enable the timely delivery of grid facilities needed to integrate new capacity, reinforce reliability, and sustain investor confidence in the Philippine power sector,” she added.
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