22 Aug 2007
Heeding the call of the Department of Energy to accelerate the power privatization program, the Power Sector Assets and Liabilities Management Corporation (PSALM) recently opened the auction of the 75-megawatt (MW) Ambuklao and 100-MW Binga hydroelectric power plants.
The country's first and second hydroelectric power plants, respectively, the Ambuklao-Binga power facilities were opened to prospective bidders Tuesday (21 August) through a published Invitation to Bid (ITB).
PSALM intends to sell the two hydro plants as one plant package.
In the ITB, PSALM indicated that it would accept Letters of Interest from prospective investors until 14 September 2007.
As a prerequisite to the issuance of the Bidding Package, all interested parties will be required to execute a Confidentiality Agreement and Undertaking with PSALM and pay a non-refundable participation fee of USD1,000 not later than 18 September.
PSALM has set the Pre-bid Conference for interested bidders in the Ambuklao-Binga power complex on 26 September 2007 at its Makati City office.
The government's power privatization firm hopes to bid out the Northern Luzon-based power plants by end-November.
The Ambuklao and Binga complexes run along the upper portion of Luzon's longest waterway, the Agno River. Binga, which is located in Itogon, Benguet, lies 19 kilometers downstream of the Ambuklao plant in the Bokod town of the same province.
Construction of the Ambuklao plant was completed in December 1956. Ambuklao's three 25-MW generating units have been under preservation by the National Power Corp. since 2000. At present, the release of water from Ambuklao is being regulated for use by the Binga hydro plant. The Binga plant, on the other hand, consists of four 25-MW generators, which were commissioned in 1960. It can operate as a base-load plant during high water levels and for peaking during low water levels. It can also provide ancillary services.
Strategic Communications and Partnership Division |