7 bidders pre-qualify for PSALM’s 1st Mindanao IPPA auction
MANILA, Philippines – The Power Sector Assets and Liabilities Management (PSALM) Corporation has pre-qualified 7 interested bidders for the selection and appointment of the Independent Power Producer Administrator (IPPA) for the output of the Mindanao I and II (Mt Apo 1 and 2) geothermal power plants.
The bidding exercise is PSALM's first IPPA auction in the Mindanao region. The IPPA will manage output of Mt Apo 1 and 2 plants.
The groups that have qualified for the bidding are:
- Energy Development Corporation (EDC) Mindanao Geothermal Inc
- FDC Misamis Power Corporation
- GDF Suez Energy Philippines Inc
- SMC Global Power Holdings Corporation
- Therma Southern Mindanao Inc
- Trans-Asia Oil and Energy Development Corporation
- Vivant Geo Power Corporation
As approved by the privatization, bids and awards committee, the auction has been set on Wednesday, September 24, PSALM president and chief executive officer Emmanuel R. Ledesma Jr said on Tuesday, September 23.
Ledesma added that the pre-qualified bidders have been issued with the final IPPA administration agreement for Mt Apo 1 and 2.
The Mt Apo 1 and Mt Apo 2 geothermal power plants have a rated capacity of 54.24 megawatts (MW) each, and are located in Kidapawan City, North Cotabato.
Owned and operated by EDC, the power plants were commissioned on February 15, 1997 (Mt Apo 1) and June 17, 1999 (Mt Apo 2) under a build, operate, and own contract scheme.
The cooperation period for both plants is 25 years, and the same will expire on February 15, 2022 for Mt Apo 1 and June 17, 2024 for Mt Apo 2.
Sucat, Power Barge 104 for privatization
Apart from Mt Apo 1 and 2, PSALM announced in August that the decommissioned Sucat and Power Barge 104 power plants are also up for privatization.
Located in Sucat, Muntinlupa City, the Sucat plant is an oil-fired power plant previously owned by the Manila Electric Company, and acquired by the National Power Corporation in November 1978. It consists of Unit 1, which has a rated capacity of 150 MW; Units 2 and 3, each with 200 MW; and Unit 4, which is rated at 300 MW.
Meanwhile, in October 2013, PSALM declared a failed bid for Power Barge 104 because none of the bidders met the reserve price for the asset package. – Rappler.com