The Department of Energy (DOE) has designated the National Transmission Corporation (TransCo) to lead the planning, financing and construction of priority transmission projects.

In a news release on Wednesday, the DOE said Department Circular No. DC2026-02-0007 authorizes TransCo to ensure timely implementation and prevent delays in the installation and completion of the priority projects.

Priority projects are those aligned with the Philippine Energy Plan and long-term energy security; those that support generation, interconnection, and demand growth; and/or those delayed by interventions.

The DOE warned 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.”

The DOE said “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 Swiss Challenge, or partnership arrangements.

The Energy Regulatory Commission (ERC) was tasked to issue the regulatory framework to ensure clear and predictable processes.

“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. (PNA)