Monday, March 13, 2017

PSALM defers sale of Malaya thermal plant



 (The Philippine Star) |

MANILA, Philippines - State-run Power Sector Assets and Liabilities Management Corp. (PSALM) has deferred the sale of the 650-megawatt (MW) Malaya Thermal Power Plant (TPP) in Rizal after the Department of Energy (DOE) proposed to convert the facility into a liquefied natural gas (LNG) plant.
PSALM is awaiting the instruction of the DOE regarding the privatization of the power plant.
Originally set March 8, PSALM decided to bid out the Malaya TPP in March 30, PSALM officer-in-charge Lourdes Alzona said.
“The bidding date has been moved to March 30 with the same bidders. The final transaction document will take into consideration the requirement of DOE for the Malaya’s conversion to a baseload LNG plant. This is currently under discussion and we will defer to our board,” she said.
Energy Secretary Alfonso Cusi said earlier he wants to convert the Malaya TPP into a LNG facility to ensure reliable power supply in the future.
The plant’s conversion would also allow the country a cleaner, more efficient and reliable power plant, he said.
Currently, the Malaya TPP, which runs on diesel, was designated as a must-run unit (MRU) to address supply deficiency when operating power plants in the grid suddenly bog down or become unavailable.
It will operate as an MRU until the DOE finalizes its privatization schedule.
Prior the DOE’s proposal, the Malaya plant was supposed to be sold on an “as is, where is” basis.
Four power companies have expressed interest in the asset, namely APT Global Inc, Phinma Energy Corp., Riverbend Consolidated Mining Corp. and AC Energy Holdings Inc.

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