PSALM sets bidding for 210-MW coal power plant in Misamis Oriental

By Iris Gonzales (The Philippine Star) | Updated October 25, 2014 - 12:00am

MANILA, Philippines - The Power Sector Assets and Liabilities Management Corp. (PSALM), the government agency tasked to privatize state-owned power assets, is set to bid out the management contract for the 210-megawatt Mindanao coal-fired power plant in Misamis Oriental in December this year.

In an interview with reporters, PSALM president Emmanuel Ledesma Jr. said they are looking at offering the entire capacity of the Mindanao coal plant, a structure similar to the privatization of Mt. Apo and two power facilities.

“We’re still finalizing the structure,” Ledesma said.

In September, the Gotianun Group’s FDC Misamis Corp. won the bid to manage the 108 MW capacity of the Mt. Apo 1 and 2 geothermal power plants.

Aboitiz Power Corp., the power generation arm of the Aboitiz Group, meanwhile, had expressed interest in bidding for the independent power producer administrator (IPPA) of the Mindanao plant.

“I think part of the schedule of PSALM is also to do the Steag IPPA. We will look at that also,” Aboitiz chief executive Erramon Aboitiz told reporters.

At present, Aboitiz owns a 34 percent stake in the Mindanao coal plant project with Steag of Germany owning 51 percent and La Filipina Uy Gongco Corp. the remaining 15 percent.

Steag State Power Inc. of Germany operates the Misamis Oriental plant, which was constructed under a build-operate-transfer agreement with the government. source