Wednesday, February 17, 2016

PSALM resets sale of Sucat thermal plant



By Danessa Rivera (The Philippine Star) | Updated February 17, 2016 - 12:00am

MANILA, Philippines - State-run Power Sector Assets and Liabilities Management Corp. (PSALM) has pushed back the sale of the decommissioned 850-megawatt (MW) Sucat thermal power plant (STPP) in Muntinlupa City to March pending clearance from its board.
The auction, originally set on Feb. 17, will be moved to next month, PSALM OIC Lourdes Alzona said in a text message to The STAR.
“The terms and conditions of the final asset purchase agreement for the sale and its issuance to pre-qualified bidders are yet for approval of PSALM Board this February, hence, bidding will be reset in March 2016,” she said.
PSALM is selling all plant equipment, structures, auxiliaries and accessories of the STPP on an “as is, where is” basis.
Proceeds from the STPP transaction would be used to contribute to liquidating the financial obligations it assumed from the National Power Corp. (Napocor), the firm said.
PSALM acting vice president and general counsel Cecilio B. Gellada Jr. earlier said the agency received strong interest in the privatization of the asset, which is among the company’s highly participated disposal initiatives.
The STPP was first bid out in 2014. But due to the discovery that the highest bidder, Genetron International Marketing, submitted fake documents, the asset purchase agreement for the asset was terminated.
The Sucat plant consists of Unit 1, which has a rated capacity of 150 MW; Units 2 and 3, each with 200 MW; and Unit 4, which is rated at 300 MW. It was previously owned by Manila Electric Co. (Meralco) but was acquired by the National Power Corp. (Napocor) in November 1978.

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