PSALM commences rebidding of Power Barges 101-104

20 Jun 2012

The Power Sector Assets and Liabilities Management (PSALM) Corporation has officially started the second round of bidding for Power Barge Nos. 101, 102, 103 and 104 after it published in local newspapers last Wednesday, 20 June 2012, the Invitation to Bid (ITB) for the assets.

The publication comes at the heels of the approval of the rebidding granted by the PSALM Board of Directors.

"PSALM is committed to ensure the successful privatization of the power barges not only as part of our mandate but also as government's contribution to stabilizing the power situation in Mindanao where the power barges will eventually be transferred," said PSALM President and Chief Executive Officer Emmanuel R. Ledesma Jr.

The ITB states that PSALM will accept Letters of Interest from prospective bidders not later than 03 July 2012 at 5 p.m.

For the issuance of the bidding package, PSALM requires interested parties to execute a Confidentiality Agreement and Undertaking and pay a non-refundable participation fee of USD3,000 on or before 5 p.m. of 04 July 2012.

PSALM will conduct a Pre-bid Conference for interested bidders on 05 July 2012 at its Makati City office. This will provide prospective bidders the opportunity to raise their concerns regarding the sale of the barges. Bidders may also provide written comments and suggestions on the draft purchase agreement to improve its terms and conditions pursuant to the instruction of the Department of Energy.

The bidding will be held on 15 August 2012, and bids will be received until 12 noon only. Bid evaluation will immediately follow.

PSALM also stressed that it has the option to enter into a negotiated sale in case the second round of bidding fails.

The first round of bidding for PB Nos. 101-104 was declared a failure after only one bidder submitted a bid prior to the expiration of the submission deadline.

Commissioned in 1981, PB Nos. 101 and 102 are stationed at Bo. Obrero in Iloilo City. PB Nos. 103 and 104, which began operation in 1985, are moored in Botongon, Estancia, Iloilo, and at the Holcim Compound, Ilang, Davao City, respectively. Each power barge has an installed capacity of 32 megawatts.

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