03 Nov 2013
China-based Guangxi Hydroelectric Construction Bureau and its local joint-venture (JV) partner ITP Construction Inc. was named as the lowest bidder as read, at the bid opening activity for the uprating project of Units 1 and 2 of the Agus VI hydroelectric power plant held on 25 October 2013, the Power Sector Assets and Liabilities Management (PSALM) Corporation has reported.
"Using the nondiscretionary criteria prescribed under the procurement law, Guangxi Hydroelectric submitted the lowest offer as read, which can translate to potential savings amounting to more than PhP1 billion for the government," PSALM BAC Chairperson Manuel Marcos M. Villalon II said. "The submission, however, will still be subject to detailed evaluation and post-qualification to determine whether the winning bidder as read is compliant with and responsive to the requirements and conditions set forth in the bidding documents," Mr. Villalon explained.
The Guangxi Hydroelectric group, which offered the lowest bid as read of PhP1.59 billion (PhP1,590,559,270.68) for the uprating project, bested the JV among HydroChina ZhongNan, Harbin Electric Machinery Company Limited and BSP & Company Inc. which offered PhP1.68 billion (PhP1,677,106,108.00) for the uprating project. PSALM said that both bids were within the Approved Budget for the Contract amounting to PhP2.6 billion (PhP2,598,170,000.00). The technical and eligibility documents of a third bidder did not qualify to enable it to proceed with the opening of its financial envelope. All three bidders submitted their bids prior to the Bid Submission Deadline, the PSALM Bids and Awards Committee (BAC) noted.
The Agus VI uprating project intends to increase the power output of Units 1 and 2 of the Agus VI power plant from 25 megawatts (MW) to 34.5 MW each, and extend their economic life to another 30 years.
Specifically, the project will include the investigation, design, engineering, manufacturing, installation, testing and commissioning of the new hydropower turbines and blades of the two Agus VI power units, as well as replacement of electrical equipment, materials and devices necessary for the safe and reliable operation of the power facilities. Upon award, the project is expected to be completed within 900 calendar days.
The 200-MW Agus VI power plant is a run-of-river hydro plant located downstream of the famed Maria Cristina falls in Fuentes, Iligan City. The plant consists of Units 1 and 2 with rated capacities of 25 MW each, and Units 3, 4 and 5 at 50 MW each.
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