State-run Power Sector Assets and Liabilities Management Corp. (PSALM) said Friday it closed the sale of the 96.64-megawatt Caliraya-Botocan-Kalayaan (CBK) hydroelectric power plants, representing a major milestone in the government’s privatization of energy assets.
The Thunder Consortium, composed of Aboitiz Renewables Inc., Sumitomo Corp. and Electric Power Development Co. Ltd., acquired the Laguna-based renewable energy complex through its project company, Cleanergy 9 Power Inc. The consortium emerged as the highest bidder with an offer of P36.266 billion.
The transaction falls under the Electric Power Industry Reform Act (EPIRA), a law designed to reform the Philippine power sector through privatization and increased competition.
PSALM officials said the proceeds would be used to settle the agency’s financial obligations, which is expected to reduce stranded costs for electricity consumers and reinforce the stability of the power sector.
Department of Energy Undersecretary Sharon Garin said during the closing ceremony that the deal reflects a government direction that is reform-minded and investor-friendly.
Garin noted that the successful bidding process for a unique asset like the CBK complex affirms the government’s commitment to transparency and genuine competition.
Located in Laguna, the CBK plants are considered vital renewable energy assets that provide reliable power to the Luzon grid.
PSALM president and chief executive Dennis Edward Dela Serna said the sale is a testament to investor confidence in the Philippine reform agenda and the long-term sustainability of the country’s power supply.
PSALM has committed to a smooth transition with the new owners to ensure the uninterrupted operation of the facilities. The agency continues to fulfill its mandate of optimizing the value of state-owned power assets while protecting the public interest through the reduction of sector debts.
