Conflict in Quality Regulation of Distribution Utilities

The Philippine Distribution Code (PDC) requires all User connection points that all Power Quality (PQ) requirements under PDC Section 3.2 be complied with. The PDC section 3.2.3.4 stresses this policy for voltage variations, see below. There are other similar statements for other PQ indices to be complied along section 3.2 of the PDC.

For new distribution system interconnection, the PDC points to the same section 3.2 that new connection points must have PQ within limitations specified in Section 3.2. In this case, the Distribution Utility (DU) must ensure that these PQ limits are complied with. See section 5.2 and further below.

The Energy Regulatory Commission (ERC) under its Work in Progress provides a seemingly conflicting objective with the PDC, as the Section 4 of the Guideline for Monitoring of PQ standards for DUs allows the DU to have 95% of connection points along a given distribution feeder to comply with section 3.2 of the PDC, see figure below. This means that 5% of the connection point can be accepted not to comply with the said PQ performance requirements. Practically, if the DU feeder has 100 connection points, 5 of those connection points can be operated not following the PQ limits specified in the PDC section 3.2.

The conflicting objective in these regulatory documents is clear. One document, the PDC, specifies that the DUs must comply with PQ limitations per section 3.2 in all connection points. On the other hand, the Guideline points that only 95% of those connection points must be ensured by the DU to have PQ level in accordance with the PDC section 3.2.

The ERC and DUs must adhere the PDC since this is the “code” of operating, financing and planning distribution systems. The Guideline must be reviewed as this is a Work in Progress. If the Guideline supersedes the PDC, then the PDC states that a PQ problem exists in the distribution system as section 3.2.1.2 below stresses this point.