Three power generators expressed interest to participate in the competitive selection process (CSP) or bidding for the 1,200-megawatt (MW) baseload requirement of Manila Electric Co. (Meralco).
The three companies, which submitted expressions of interest and attended the pre-bid conference on Monday, are First Natgas Power Corp. of the Lopez Group and San Miguel Corp.-led Limay Power Inc. and South Premiere Power Corp.
Meralco expressed hope the interested firms would submit formal bids on Jan. 23, 2024. The distributor announced early this month it would invite bidders for its 1,200-MW baseload requirement to ensure continued availability of sufficient and reliable supply for customers.
This followed the Department of Energy’s (DOE) issuance of a certificate of conformity on the terms of reference (TOR) for the 15-year power supply agreement/s which would be effective once approved by the Energy Regulatory Commission.
The TOR states that pursuant to the DOE’s advisory on the conduct of CSP for power supply using indigenous natural gas as transition fuel, “power suppliers with natural-gas fired power plants are highly encouraged to participate in the bidding”.
This CSP, based on Meralco’s DOE-approved power supply procurement plan, aims to meet the power distributor’s future capacity requirements, including the 1,000 MW supply that was covered by its PSAs with change in circumstance cases that are now pending resolution with the courts.