The Power Sector Assets and Liabilities Management Corporation (PSALM) joined the National Irrigation Administration (NIA) for the ceremonial turnover of the 165-MW Casecnan Multi-Purpose Project (CMPP) on 07 December 2021 at the Manila Peninsula. The date of the official cessation of CMPP’s 20-year Build-Operate-Transfer (BOT) scheme between the CE Casecnan Water and Energy Company, Inc. and NIA is on 11 December 2021.
PSALM and NIA represent the government’s interest in the CMPP to the extent of 60% and 40%, respectively. They will take over and operate CMPP starting 11 December 2021 through a designated third-party operator that won the public bidding for the CMPP’s operation and maintenance. On 12 October 2021, PSALM declared Soosan ENS Co. Ltd. as the lowest bidder during the evaluation of bids for the procurement of a one-year Operation and Maintenance Service Contract for the CMPP. After the post-qualification process, Soosan ENS Co was designated as the operator of the CMPP.
At the ceremonial turnover, PSALM President and CEO Irene Besido-Garcia said, “We will ensure the continuous operations of the Casecnan plant with the main objective of energy generation for the Luzon grid as well as the irrigation of 35,000 hectares of agricultural lands in Nueva Ecija, Pampanga, Bulacan and Tarlac.”
The National Government has instructed PSALM to start the preparation for privatization of CMPP. PSALM has contracted, through a competitive bidding, PricewaterhouseCoopers (PwC) Philippines to work on the third-party valuation of the CMPP, which will become the basis for the minimum bid price when the plant is privatized.
“We will pursue a sound privatization structure that will ensure the best return for the government, but never compromising the main goal of ensuring continuous power generation and irrigation of the farmlands,” Besido-Garcia added.
The CMPP is a combined irrigation and power generation project located at Sitio Pauan, Brgy. Villarica, Pantabangan, Nueva Ecija on the island of Luzon, about 150 kilometers north of Manila. The two run-off weirs and intake structures of CHPP constructed along the Casecnan and Taan Rivers are located in Peleway, Municipality of Alfonso Castañeda, Nueva Vizcaya.Back