PSALM conducts sale process for Iligan I & II, Bataan Thermal
December 05, 2008
As 2008 draws to a close, the government through the Power Sector Assets and Liabilities Management Corporation (PSALM), continues to prepare the divestment of the remaining power assets of the National Power Corporation.
Last Wednesday, (03 December 2008), PSALM formally launched the privatization of one of its Mindanao-based power assets, the 114-megawatt (MW) Iligan I & II Diesel Power Plant (Iligan I & II), with the publication of the Invitation to Bid (ITB) in three major newspapers.
The ITB for the Iligan privatization states that interested parties have until 17 December 2008 to submit a Letter of Interest to be able to participate in the bidding process.
The prospective investor groups are also required to pay a non-refundable fee of USD2,000.00 and to execute a Confidentiality Agreement and Undertaking with PSALM on or before 19 December 2008.
The Pre-Bid Conference for the sale of Iligan I & II, which is in its second round of bidding, will be held on 09 January 2009 at PSALM’s Makati City office. The bid date is set on 25 March 2009.
PSALM also conducted last Wednesday the Pre-bid Conference for the decommissioned 225-MW Bataan Thermal Power Plant located in Limay, Bataan, with seven of the eight interested bidders attending the exercise.
The seven bidders discussed and clarified issues pertinent to the sale of the retired asset, focusing on PSALM’s Bidding Procedures.
PSALM disclosed that the eight investor groups consisted of seven local companies and a foreign corporation. The foreign firm and three of the seven local companies are participating in PSALM’s bidding exercise for the first time.
As stipulated in the Bataan Thermal ITB that PSALM published on 30, 31 October and 01 November 2008, only the “structures, plant equipment, auxiliaries and accessories” of the Central Luzon-based retired power plant would be sold.
The bid date for the Bataan Thermal decommissioned plant, which is in its third round of bidding, is scheduled on 11 February 2009.
