NGCP is a Filipino corporation, and we run the company as Filipinos —Henry Sy Jr.
An NGCP top official maintained that the company is a Filipino corporation and run by Filipinos, allaying concerns about China’s role in the operation of the country’s power grid.
“The State Grid Corporation of China (SGCC) does not exercise control over the power grid nor over NGCP,” NGCP Vice Chairman Henry Sy Jr. told the House Committee on Legislative Franchises in his opening statement.
“Domestic corporations Monte Oro Grid Resources Corporation and Calaca High Power Corporation each hold thirty percent (30%), or a total of sixty percent (60%) of the outstanding capital stock of NGCP, whereas SGCC only holds a minority share of forty percent (40%),” he added, stressing that SGCC’s shareholding in NGCP is consistent with the Constitution.
On the matter of NGCP’s partnership with a Chinese firm, Sy clarified that SGCC was already on board and the shareholders agreement was already in place when he purchased his shares in 2010.
He also debunked reports that the Chinese can shut down the country’s power grid, stressing that “it is NGCP alone, through its Filipino directors and personnel, and not the Chinese, which has control over the System Operations.”
“The Chinese do not have control over the Grid,” he emphasized, adding “there is no proverbial single red button that can instantly turn off the Grid.”
“There are protocols that actually prevent this,” Sy stated.
Sy also informed the Committee that NGCP’s SCADA system is a secure stand-alone, isolated system not connected to any other network or internet, thus making it safe from remote hacking.
Sy also underscored the need for stability, not just in the power grid, but also in supply, law, policy and regulation, for a more robust power industry.
“I strongly urge our DOE to look at the problem as a whole. The data is clear, 97 percent of the power interruptions from 2016 to 2023 was caused by problems in supply,” Sy pointed out.
“We need stable, affordable baseload power. We need a comprehensive, aligned plan that considers the needs of all sectors. We are willing to be part of the solution, but transmission should not be the solution to everyone’s problems,” he said.