Manila Electric Co. said Monday Phinma Energy Corp. of Ayala Group and San Miguel Energy Corp. and South Premiere Power Corp. of San Miguel Corp. submitted the “best bids” for the supply of a combined capacity of 1,200 megawatts.
Meralco’s’ third-party bids and awards committee said in a notice following the evaluation of the bids on Sept. 9 that the best bids were Phinma Energy at P4.8849 per kilowatt-hour, San Miguel Energy at P4.9299 per kWh and South Premiere at P4.93 per kWh.
It said determination of the bids was based on the levelized cost of energy or the estimated price over the 10 years of the power supply agreement.
Phinma Energy, now under AC Energy Inc., will supply Meralco with 200 MW, San Miguel Energy with 330 MW and South Premiere with 670 MW during the 10-year supply period.
“Pursuant to Section 5 of the instructions to prospective bidders, the aforesaid bidders with the best bids will now undergo post-qualification within seven days from the date thereof. Thereafter, the third party bids and awards committee shall issue respective notice of award in favor of those who satisfactorily passed post-qualification process,” the committee said.
The committee is composed of Ferdinand Domingo as chairman, Froilan Savet as vice chairman and Adrian Cristobal Jr., Maria Luisa Alvendia and Bennette Bachoco as members. A representative from the Energy Department was also present during the competitive selection process.
Five groups submitted bids prior to the 9 a.m. deadline, including South Premiere at 680 MW, SMC Consolidated Power Corp. at 200 MW, Masinloc Power Partners Co. Ltd. at 220 MW, San Miguel Energy at 330 MW and Phinma Energy at 200 MW.
“The CSP was for 1,200 MW only. The total offered capacity of the bidders that attended was 1,630 MW so that not all offers could be accepted. The three bidders with the best bids submitted the lowest cost offers,” Meralco head of utility economics Lawrence Fernandez said.
Meralco earlier published the invitation to bid for the 10-year supply of 1,200 MW brownfield capacity in compliance with the CSP requirement of the government.
Bidders were asked to supply Meralco with the said capacity starting Dec. 26, 2019 up to Dec. 25, 2029.
Meanwhile, Meralco is set to open the bids for the remaining 1,700 MW this week. Meralco is also bidding out three supply contracts including a 500-MW mid-merit capacity for five years and 1,200-MW greenfield or newly-built capacity for 20 years.
Meralco issued a notice for the supply of 500 MW of power capacity for its mid-merit requirements over a five-year period where the minimum capacity offer per bidder should be at least 100 MW.
Meralco said bidders should be able to start supplying the 500-MW mid-merit capacity requirement by Dec. 26, 2019 from a single or portfolio of power plants that adjust output according to fluctuations in demand.
The bid submission deadline for the 500 MW mid-merit capacity requirement was on or before 9 a.m. of Sept. 11, 2019.
The eight interested firms for the 500-MW supply are Team Energy, First Gen Hydro Power, Phinma Energy, Solar Philippines, Therma Luzon, AP Renewables, South Premiere Power and SMC Consolidated.
Four companies expressed interest for the 1,200-MW greenfield capacity, including First Gen, Atimonan One, Panasia Enegy and Mariveles Power.