The government is losing around P1.2 billion annually from maintaining the 650-megawatt Malaya Thermal Power Plant in Pililla, Rizal, according to a report of the Department of Energy.
The 37th Status Report on Republic Act No. 9136 titled Electric Power Industry Reform Act of 2001 covering May to October 2020 showed Power Sector Assets and Liabilities Management Corp. incurred an average annual net loss of P1.2 billion in maintaining the MTPP.
“Based on the losses for the last 10 years [2010 to 2019], the average annual net loss of PSALM in maintaining MTPP is P1.2 billion,” the report said.
MTTP was declared a “must run unit” in 2014, which means the power plant is required to run if needed by the grid.
PSALM has yet to sell MTPP, one of the remaining big ticket power items up for privatization.
“PSALM pursues to dispose of said assets due to increasing substantial losses in continuously maintaining it,” the report said.
