State-run Power Sector Assets and Liabilities Management Corp. said it received interest from 28 companies to participate in the privatization of the Caliraya-Botocan-Kalayaan (CBK) hydropower plants in Lumban, Majayjay, and Kalayaan, Laguna.
PSALM initially received 29 letters of interest (LOI) from a mix of local and foreign parties on Feb. 1, 2024 deadline, but one company decided to withdraw later.
The CBK hydroelectric power plant complex, which comprises three separate facilities with a contracted capacity of 796.64 megawatts, plays a central role in the Luzon power system. It is one of the few remaining big ticket power assets that is up for privatization by the government.
“We are surprised and thankful for the number of interested parties,” PSALM president Dennis Dela Serna said.
PSALM has yet to set the bid submission deadline. It issued the invitation for interested parties to participate in the selection and appointment of the independent power producer administrator (IPPA) for the contracted capacity and the CBK privatization in December.
Dela Serna earlier said the CBK privatization would have a slightly different process.
“Invitation to participate and prequalification process. After that, PSALM determines who qualify, then the bidding process. So far, I think the LOI and pre-qualify deadlines have been published. To follow the bidding details after,” he said.
Among those that previously expressed interest in the CBK assets are SN Aboitiz Power Corp. and First Gen Corp.
PSALM’s Privatization Bids and Awards Committee set the clarification request deadline on Feb. 8 and the documentary deliverables deadline on Feb. 29. The hardcopy documentary deliverables deadline was set on March 21, 2024.
PSALM tapped the Asian Development Bank as the transaction advisor contract to monetize CBK hydro power plants.