The Energy Regulatory Commission (ERC) has introduced a simplified framework for Grid Compliance Tests for legacy power plants through Resolution No. 27, Series of 2026. The measure aims to help older generating facilities demonstrate their ability to operate safely and reliably within the national power grid while reducing regulatory requirements that may no longer be practical for older technologies.
The resolution applies to legacy power plants with commercial operation dates before the enactment of the Electric Power Industry Reform Act of 2001. The ERC recognized that many of these facilities were designed and built under technical standards that existed before the 2016 Philippine Grid Code. As a result, meeting every requirement under the current Grid Code can be technically difficult, costly, or operationally impractical.
Under the new framework, legacy power plants will be required to undergo testing in six key operational areas. These include minimum and maximum stable load and ramp rates, reactive capability, governor control response, fast-start capability, dispatch accuracy, and over- and under-frequency relay performance.
The focused testing approach is intended to confirm the capabilities of older generating units that are important for maintaining grid stability and reliability. At the same time, it removes the need for legacy facilities to undergo requirements that may not be suitable for their original technology or design.
Once a legacy power plant successfully completes all six required tests, the National Grid Corporation of the Philippines (NGCP), acting as the Transmission Network Provider and System Operator, will issue a Final Certificate of Approval to Connect within the timelines prescribed by the Department of Energy.
The certificate is an important regulatory requirement for generating facilities seeking to obtain a Certificate of Compliance, which allows them to legally continue their generation activities.
The ERC said the updated approach provides greater clarity for generation companies while maintaining the necessary safeguards for the national power system. The framework also provides grid operators with a clearly defined set of tests to assess the operational capabilities of older plants before connection approval is granted.
For generation companies, the resolution could help keep existing generating capacity available without imposing requirements that may be difficult for older facilities to meet. Grid operators will benefit from a more structured compliance process, while consumers could benefit from improved grid reliability and reduced risks of supply disruptions.
Resolution No. 27, Series of 2026, will take effect immediately following its official publication. The ERC will continue to monitor legacy facilities to ensure that their operation remains consistent with grid reliability and security requirements.
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