14 May 2014
The Power Sector Assets and Liabilities Management (PSALM) Corporation has launched its selection and appointment of the independent power producer administrator (IPPA) for the Mindanao I and II (Mt. Apo 1 and 2) Geothermal Power Plants - PSALM's first IPPA auction in the Mindanao region.
With the publication of its Invitation to Bid (ITB) in local newspapers on Wednesday (14 May 2014), the Mt. Apo IPPA selection officially commences and is PSALM's third privatization activity this year.
"It remains a busy year for PSALM's privatization program, and this time, our next target is the Mt. Apo IPPA selection," PSALM President and Chief Executive Officer Emmanuel R. Ledesma, Jr. said. "The Mt. Apo IPPA will manage government's contracted energies in the Mt. Apo 1 & 2 plants, which are 390 gigawatt-hours (GWh) and 398 GWh per year, respectively," he specified.
PSALM's ITB stated that all interested parties must submit a Letter of Interest (LOI) not later than 5:00 P.M. on 30 May 2014, or the LOI Submission Deadline.
As a prerequisite to the receipt of the Bidding Procedures, prospective parties must likewise execute a Confidentiality Agreement and an Undertaking with PSALM, and pay a non-refundable participation fee of PhP120,000.00 either in cash, manager's check or cashier's check. The deadline for these prerequisites is on or before 5:00 P.M. of 6 June 2014.
The ITB added that PSALM will hold a pre-bid conference for prospective bidders on 26 June 2014 at 2:00 P.M. in preparation for the bidding, scheduled on 24 September 2014.
The ITB specified that the Bid Submission Deadline is on 24 September 2014 at exactly 12:00 noon.
The Mt. Apo 1 and Mt. Apo 2 geothermal power plants have a rated capacity of 54.24 MW each, and 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 for Mt. Apo 1 and 2, respectively.
Strategic Communications and Partnership Division |