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Negros Electric and Power Corp. (Negros Power) is rolling out a ₱HP630-million upgrade of its sub-transmission network and building two new substations in Bacolod City, as rising electricity demand driven by urban development pushes the utility to expand capacity and reinforce grid reliability.
Negros Power said the investment will fund the rehabilitation of its 69-kilovolt (kV) sub-transmission lines and the construction of two new distribution substations, forming a key component of its ongoing five-year rehabilitation program.
Rising Demand
Vice President and Chief Operating Officer Joe-Mel Zaporteza said the upgrades come as the utility enters its second year of operations and faces sustained load growth across its franchise area.
“After 19 months of operation, we have reached a point where we need to upgrade the 69kV lines and develop new substations to support the continued growth of Bacolod City and the entire franchise area,” Zaporteza said.
Electricity consumption has been increasing by about 7 percent annually since 2023, driven by improving service reliability and expanding economic activity. The rise in demand has pushed network loading higher, prompting the need for additional infrastructure to maintain stable operations.
New Substations
Central to the expansion are two new substations: the Capitol Substation along San Juan Street and the Megaworld Substation within The Upper East township.
The Capitol facility is scheduled to go online by the end of 2026, while the Megaworld substation is targeted for completion in early 2027. Each project is estimated to cost between ₱200 million and ₱250 million.
Once completed, the additions will increase Negros Power’s total number of substations to 13 by the first half of 2027, up from the current 11, significantly boosting capacity in Bacolod and nearby areas.
The projects are designed to prevent overloading of existing facilities, which are projected to reach 90 to 100 percent utilization within five years without expansion. The utility aims to keep loading at around 70 percent to ensure operational flexibility and accommodate future demand.
Sub-Transmission Upgrades
Alongside the new substations, Negros Power is investing around ₱130 million to upgrade critical segments of its 69kV sub-transmission network.
The rehabilitation program consists of four major components: a 2.4-kilometer line from the Gonzaga Substation to the new Capitol Substation; a 0.7-kilometer connection linking the Megaworld facility to Gonzaga; a 1.6-kilometer line feeding into the Megaworld substation; and the rehabilitation of the Bacolod-Bata 69kV line.
The Bacolod-Bata line upgrade is considered the most critical component, as it will increase capacity from 126 megavolt-amperes (MVA) to 220 MVA, enabling it to supply power to the new substations and improve overall grid performance.
“These are connected to the sub-transmission lines or 69kV lines that need to be upgraded,” Zaporteza said.
The line works are expected to be completed within six to eight months, with preparatory activities already underway since early March.
Ongoing Investments
The latest projects build on earlier investments made by Negros Power following its takeover of the distribution system from Central Negros Electric Cooperative (CENECO) in August 2024.
In its first year, the company invested at least PHP1.3 billion in network rehabilitation, resulting in significant improvements in service reliability. The System Average Interruption Frequency Index (SAIFI) improved by 38 percent, while the System Average Interruption Duration Index (SAIDI) improved by 67 percent, reducing both the frequency and duration of outages.
The company said it has already completed 39 percent of its five-year development plan, ahead of its target pace.
“These investments have significantly improved our performance indicators,” Zaporteza noted, adding that the ongoing upgrades aim to modernize infrastructure, reduce voltage fluctuations, and ensure more efficient electricity flow.
Cost Impact
Negros Power said consumers may experience scheduled power interruptions during the construction period, ranging from 30 minutes to up to eight hours, depending on the scope of work. The utility said it will implement switching techniques to minimize the number of affected customers.
Despite the scale of investments, the company indicated that distribution-related costs are not expected to drive immediate increases in electricity rates. Zaporteza said average rates in 2025 declined compared to 2024, partly due to higher electricity demand spreading costs more efficiently.
He emphasized that any rate adjustments would require approval from the Energy Regulatory Commission, while fluctuations in monthly bills are largely influenced by generation charges tied to market prices.
Supporting Regional Growth
The infrastructure push is aligned with rapid urban and commercial expansion in Bacolod, including major mixed-use developments such as Megaworld’s township, PHINMA’s Saludad project, and Rockwell Center.
Negros Power said reliable electricity supply is critical to sustaining these developments, which are expected to generate jobs, attract investment, and enhance the city’s economic profile.
Beyond Bacolod, the utility also serves the cities of Talisay, Silay, and Bago, as well as the municipalities of Murcia and Don Salvador Benedicto, all of which stand to benefit from improved grid stability and expanded capacity.
Source:
https://dailyguardian.com.ph/negros-power-invests-php-630m-in-grid-upgrade/
https://www.panaynews.net/negros-power-to-upgrade-69kv-line-build-new-substations