AT least 10 prospective bidders, two of them foreign companies, participated in the pre-bid conference for the decommissioned 850-megawatt (MW) Sucat Thermal Power Plant (STPP), state-run Power Sector Assets and Liabilities Management (PSALM) Corp. said on Monday.
The second round of bidding conducted by PSALM was for the structures, plant equipment, auxiliaries and accessories of the Sucat Thermal plant.
Atty. Cecilio B. Gellada Jr., PSALM acting vice president and general counsel, said two of the bidders are foreign companies.
“PSALM is pleased with the interest shown by investors in this privatization activity, which is among the highly participated disposal initiatives of the corporation,” said Gellada.
PSALM expects to optimize the proceeds to be generated from the STPP transaction.
The agency will use the revenue to contribute to liquidating the financial obligations it assumed from the National Power Corporation (NPC).
“We are appreciative of the continued enthusiasm of the private sector for the government’s privatization program,” Gellada added.
At the same time, Gellada assured the participants that the bidding processes would be efficient, fair and transparent.
PSALM is selling all plant equipment, structures, auxiliaries and accessories of the STPP on an “as is, where is” basis. The bidding is set on 17 February 2016.
Located in Sucat, Muntinlupa City, the STPP is an oil-fired power plant that was previously owned by the Manila Electric Co. (Meralco) and was later acquired by NPC in November 1978.
It consists of four units. Unit 1 has a rated capacity of 150 MW; Units 2 and 3 have a rated capacity of 200 MW each; and Unit 4 has a rated capacity of 300 MW.
Formerly known as the Gardner Snyder Thermal Plant, the Sucat facility officially commenced commercial operations on August 1, 1968 after the completion of Unit 1. Units 2 to 4 started operating in 1970, 1971, and 1972, respectively.
In January 2000, Units 1 and 4 were decommissioned and placed under preservation. Units 2 and 3 were shut down in January 2002.