The Philippine Grid Code establishes and documents the basic rules, requirements, procedures and standards that govern the operation, maintenance and development of the high-voltage backbone transmission system in the Philippines. The Grid Code identifies and recognizes the responsibilities and obligations of three (3) key independent functional groups, namely (a) Grid Owner, (b) System Operator and (c) Market Operator. These functional groups and all Users of the Grid must comply with all the provisions of the Grid Code. The Grid Code is intended to be used along with the Market Rules of the Wholesale Electricity Spot Market to ensure the safe, reliable and efficient operation of the Grid.
Republic Act No. 9136, also known as the “Electric Power Industry Reform Act of 2001,” mandated the creation of the Energy Regulatory Commission (ERC). Section 43(b) of the Act also provides that the ERC promulgate and enforce a National Grid Code and a Distribution Code which shall include, but not limited to: (a) Performance Standards for TRANSCO O & M Concessionaire, distribution utilities and suppliers, and (b) Financial Capability Standards for the generating companies, the TRANSCO, distribution utilities and suppliers. The Act also mandates the ERC to enforce compliance to the Grid Code, the Distribution Code and the Market Rules and to impose fines and penalties for violations of their provisions.
The Grid Code was prepared using a functional rather than an organizational format so that it will remain robust and require minimum changes as the Philippine electric power industry is transformed to its new organizational structure.
The safe, reliable and efficient operation of the Grid requires the cooperation of all industry participants. It is important that all Grid Users follow the instructions and orders of the System Operator to ensure the reliable operation of the Grid. The System Operator will work closely with the Market Operator to dispatch day-ahead pool schedules and provide the necessary support in satisfying the technical and operational requirements of real time control of the Grid.
The policies and decisions of the Grid Owner, System Operator and Market Operator on matters involving the operation, maintenance and development of the Grid will affect all industry participants and end-users. It is important, therefore, that all affected parties have a voice in making decisions and policies involving the operation, maintenance and development of the Grid. The Grid Code provides this mechanism through the Grid Management Committee that will relieve the Energy Regulatory Commission from the tedious task of monitoring day-to-day operations of the Grid.
The Grid Code is organized into nine (9) Chapters. These are:
Chapter 1. Grid Code General Conditions
Chapter 2. Grid Management
Chapter 3. Grid Connection Requirements
Chapter 4. Grid Planning
Chapter 5. Grid Operations
Chapter 6. Scheduling and Dispatch
Chapter 7. Grid Revenue Metering Requirements
Chapter 8. Grid Code Transitory Provisions
Chapter 9. Performance Standards for TRANSCO
Chapter 1 of the PGC contains the general provisions that apply to all the other Chapters of the Grid Code. It specifies the authority of the ERC to promulgate and enforce the Grid Code. It also contains articles on definition of terms, abbreviations, and construction of references used in the Grid Code.
Chapter 2 of the PGC specifies the guidelines for Grid Management, the procedure for dispute resolution, the required Operational reports and the process for Grid Code enforcement and revision.
Chapter 3 of the PGC specifies the minimum technical, design and operational criteria and the procedures to be complied with by any User who is connected or seeking connection to the Grid and the minimum technical, design and operational criteria of the Grid Owner at the Connection Site with Users. It also presents a unified listing of all the data required by the System Operator from Users and by Users from the Grid Owner.
Chapter 4 of the PGC specifies the technical and design criteria and procedures to be applied by the System Operator and Grid Owner in planning the development or reinforcement of the Grid and to be taken into account by Users in planning the expansion of their own Systems. Articles on Demand Forecasts and required technical planning studies are also included in this Chapter.
Chapter 5 of the PGC establishes the rules and procedures to be followed by the Grid Owner, System Operator and all Users to ensure the reliability and security of the Grid. Articles such as Operating Principles, Authority and Responsibilities, Control, Protection, Testing, Safety Procedures, Outage/ Maintenance Scheduling and Emergency Procedures are also included in this chapter.
Chapter 6 of the PGC establishes the rules, procedures and requirements for real-time dispatch in the Wholesale Electricity Spot Market in order to compensate for imbalances in active power and to provide the ancillary services that are required to ensure power quality and the reliability and security of the Grid. Articles on Operating Margins, Demand Forecasts and Control are also included in this chapter.
Chapter 7 of the PGC specifies the technical and design criteria associated with the measurement of electric energy. The provision of metering data for the operation of the Philippine Electricity Market is also included in this Chapter.
Chapter 8 of the PGC specifies the rules and procedures pertaining to compliance with the provisions of the Grid Code during the transition period from the existing industry structure to the new industry structure. The procedures for the grant of exemption from specific requirements of the Grid Code are also addressed in this Chapter.
Chapter 9 of the PGC specifies the standards to ensure the quality, reliability and efficiency of the Transmission System, as well as safety standards for the protection of personnel in the power transmission environment.