Three firms, including subsidiaries of San Miguel Global Power, were declared as the ‘possible best bids’ to supply a total of 600 megawatt (MW) of baseload supply to the Manila Electric Co. (Meralco).
Mariveles Power Generation Corp. (MPGC), Sual Power Inc. (SPI), and GN Power Mariveles Energy Center (GMEC) offered 200MW each during the competitive selection process (CSP) for Meralco’s 600MW base load supply requirement for a total of 15 years.
MPG is operating a 600MW coal-fired power station in Mariveles, Bataan, while SPI operates the 1,200-MW Sual Power Station-the largest coal-fired power plant in the Philippines. Both are subsidiaries of the power arm of conglomerate San Miguel Corp.
The bid offers of MPGC and SPI are P5.3573 per kWh and P5.4357 per kWh, respectively.
GMEC, on the other hand, submitted a bid price of P5.5789 per kWh. GMEC operates a 600MW coal power plant in Mariveles, Bataan.
Meanwhile, the bid offers of Masinloc Power Partners Co. Ltd. at P5.6290per kWh and Therma Luzon Inc. at P5.6988 per kWh were declared as the ‘possible next best bids’ during the competitive auction.
‘The PSA [power supply agreement] will now proceed with the post-qualification of the best bids, and the bidders and observers are advised to monitor their e-mails for further updates, questions, and notifications in relation to the upcoming post-qualification evaluation,’ said Meralco Bids and Awards Committee for PSA Chairman Lawrence S. Fernandez
The competitive auction is meant to secure long-term PSAs, aiming to find the lowest-cost power sources to meet its customers’ needs. It is designed to ensure transparency and fairness in the selection of power suppliers.
Base load power facilities provide a continuous, reliable supply of electricity, such as those fueled by coal, nuclear, and geothermal plants. They run 24 hours a day.
Earlier, there were a total of nine interested bidders vying for a 15-year PSA with Meralco. The other three were Panay Energy Development Corp., Southwest Luzon Power Generation Corp. and Energy Development Corp.
Meralco’s 600MW base load supply requirement was recently cleared by the Department of Energy for the conduct of a CSP.