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DOE empowers TransCo to fast-track priority transmission projects to strengthen power reliability and support the energy transition
Date published: Feb 25 2026 11:30 AM
MEDIA RELEASE
25 February 2026
DOE empowers TransCo to fast-track priority transmission projects to strengthen power reliability and support the energy transition
To accelerate the completion of critical transmission infrastructure and strengthen the reliability and affordability of electricity supply, the Department of Energy (DOE) has issued a Department Circular (DC) establishing a policy framework that empowers the National Transmission Corporation (TransCo) to plan, finance, and/or construct transmission lines and facilities identified as Priority Projects.
Under DC No. DC2026-02-0007, the DOE designates TransCo as the primary authority to undertake the planning, financing, and construction of all Priority Projects. Priority Projects is identified based on one or more of the following considerations: (a) the importance of the project to the Philippine Energy Plan and long-term energy security; (b) the necessity of the project to enable or reinforce generation, interconnection, and demand growth; and/or (c) the urgency of the project and existing delays despite prior interventions.
The DOE underscored that delays in installing and completing transmission facilities can hinder the alignment of generation and grid development programs, constrain the timely entry of new capacity, and weaken investor confidence. Such delays ultimately affect the reliability, adequacy, affordability, and security of the country’s power supply. Expediting transmission projects is therefore necessary to sustain progress in generation expansion, grid modernization, energy efficiency initiatives, and the integration of emerging and alternative technologies.
To ensure delivery, 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. Implementation may be pursued through competitive bidding, unsolicited proposals (subject to Swiss Challenge), or partnership arrangements with government agencies, GOCCs, financial institutions, or qualified private entities. TransCo shall supervise project implementation and submit quarterly reports to the DOE to ensure transparency, accountability, and close oversight.