PSALM clarifies Cebu Daily News article titled "Firm to continue operating Naga plant despite turnover"

29 Mar 2012

This refers to the article titled "Firm to continue operating Naga plant despite turnover" written by Ms. Candeze R. Mongaya that was published in your paper on 26 March 2012.

The Power Sector Assets and Liabilities Management (PSALM) Corporation wishes to clarify that Atty. Ina Alazas, the PSALM official quoted in the story, never mentioned that PSALM would assume responsibility for the 100 employees of the Naga Power Plant Complex (NPPC) who would be affected when the six-month extension contract with Salcon Power Corporation to operate the plant expires.

Her statement on the contract being costly was also taken out of context by Ms. Mongaya. The particular quote was in response to the question on why the first round of bidding failed. To clarify, this was based on the letter which SPC submitted during the bid opening on 27 February 2012 stating that it could not submit a bid due to the low Approved Budget for the Contract. Since SPC was the lone registered bidder for the procurement of the Operations and Maintenance Service Contract for the NPPC, the bidding was declared a failure because no bid was received on the bid opening date.

PSALM hopes your paper will make the necessary clarification to avoid misleading the readers.

Strategic Communications and Partnership Division
Tel. No. (632) 9029067