02 Feb 2014
The Power Sector Assets and Liabilities Management (PSALM) Corporation has been granted authority to commence the selection and appointment of the independent power producer administrator (IPPA) for the Mindanao-based Mt. Apo 1 & 2 geothermal power plants.
"During the meeting of the PSALM Board of Directors on 29 January 2014, we have been given the authority to commence the sale process for the Mt. Apo IPPA selection, and we plan to conduct the bidding in the third quarter of this year," PSALM President and Chief Executive Officer Emmanuel R. Ledesma, Jr. reported.
As to the structure of the sale, Mr. Ledesma noted that "PSALM will adopt the same legal and commercial structures that were used in the selection and appointment of IPPA for the Bulk Energy of Unified Leyte Geothermal Power Plant, which PSALM bid out in 2013."
Mr. Ledesma specified that the Mt. Apo IPPA will manage two government IPP contracts in the Mt. Apo 1 & 2 geothermal power plants with contracted energies of 390 gigawatt-hours (GWh) and 398 GWh per year, respectively.
The Mt. Apo 1 and Mt. Apo 2 geothermal plants, each with a rated capacity of 54.24 megawatts, are located in Kidapawan City, North Cotabato. Owned and operated by the Energy Development Corporation, the power plants were commissioned on 15 February 1997 (Mt. Apo 1) and 17 June 1999 (Mt. Apo 2) under a build, operate, and own contract scheme. The cooperation period for both plants is 25 years, and the same will expire on 15 February 2022 and 17 June 2024, respectively, for Mt. Apo 1 & 2.
Strategic Communications and Partnership Division |