Power Sector Assets and Liabilities Management Corp. is set to hand over the management of the contracts of the Mt. Apo 1 and 2 geothermal power plants in Mindanao and the strips of energy deals of the Unified Leyte geothermal power plants in Visayas to the winning bidders next week.
“The turnover of the Mt. Apo and strips independent power producer administrator will be on Dec. 26,” PSALM president Emmanuel Ledesma Jr. told reporters.
Ledesma said the turnover of the management of the contracts to the IPPAs “clearly shows that we are fulfilling our mandate in terms of privatization of National Power Corp.’s assets.”
PSALM is tasked to manage the assets and liabilities of Napocor as mandated by the Electric Power Industry Reform Act of 2001.
FDC Misamis Power Corp. of the Gotianun group in September emerged as the highest bidder for the management of the output of the Mt. Apo (Mindanao I and II) geothermal power plants.
FDC Misamis offered P128 million in monthly payment for PSALM’s first Mindanao IPPA.
The Mt. Apo 1 and Mt. Apo 2 geothermal power plants are, located in Kidapawan City, North Cotabato, have a rated capacity of 54.24 megawatts each.
Owned and operated by Energy Development Corp., the power plants were commissioned in 1997 and 1999 under a build, operate and own contract scheme. The cooperation period for the Mt. Apo 1 and 2 plants covers 25 years and will expire on Feb. 15, 2022 and June 17, 2024, respectively.
PSALM last year also successfully bid out the contracted capacities of strips of energy of the Unified Leyte geothermal power plants.
PSALM awarded 40 MW to FDC Utilities Inc., 40 MW to Unified Leyte Geothermal Energy Inc. (EDC); 40 MW to Trans-Asia Oil and Energy Development Corp., and 40 MW to Aboitiz Energy Solutions Inc.
PSALM said 3 MW was allotted to Waterfront Mactan Casino Hotel Inc., 20 MW to Good Friends Hydro Resources Corp. and 17 MW to Vivant Energy Corp.
PSALM has yet to conduct the rebidding for the Unified Leyte bulk energy contract administrator.
Unified Leyte Geothermal tendered a bid of P215 million for the bulk energy, emerging as the highest bidder. It later withdrew the offer, citing damage of the plants from typhoon Yolanda last year.