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MANILA - Ilocos Norte's electricity distribution utility has asked regulators to allow it to put up a new substation to accommodate the growing demand in its franchise area.
In a petition before the Energy Regulatory Commission, Ilocos Norte Electric Cooperative, Inc. said it needs a new 10 megavoltampere substation in Laoag City due to the construction of retail outlets that will increase demand for electricity.
"Anticipating this increase in load which is abrupt and long term in nature will cause the existing substation transformers servicing the area to exceed its limits," it said.
The additional demand in Inec's service area will come from the PuroGold Supermart and SM Hypermart in Laoag that will start to operate in August and September 2012, respectively.
In order to support the power requirements of the two establishments without compromising the rest of its customers, Inec proposed to put up a 10 MVA substation and a 69-kiloVolt transmission line in San Lorenzo, Laoag City.
Inec targets to commission the P35-million project within the year. The utility proposed a five-year rent-to-own scheme to finance the substation.
Inec's customers, however, would have to shoulder a P0.0482 per kilowatt-hour increase in their electricity bills for the same period.
"The proposed project requires immediate implementation considering that the concerned establishments are geared to operate...with the proximity thereof, Inec is seeking for issuance of a provisional authority [to] enable it to implement the project immediately," it said.
Inec distributes electricity in the cities of Laoag and Batac, and the 21 municipalities in Ilocos Norte.
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