State-run Power Sector Assets and Liabilities Management Corp. (PSALM) will pursue the bidding and award of the 796.64-megawatt Caliraya-Botocan-Kalayaan (CBK) hydroelectric power plant complex in Lumban, Majayjay and Kalayaan, Laguna province in 2025, its top official said Tuesday.
PSALM president Dennis dela Serna said the CBK power plants has six interested bidders “currently undergoing due diligence on their side.”
“On the PSALM side, we are finalizing our documents, subject to comments we received from bidders. We hope to have a successful bidding by next year and turnover also by next year,” dela Serna said during the Senate hearing.
He said they have no indicative price for the CBK hydro plants yet. “We hope to do that in two months prior to the bid date itself,” he said.
The six interested bidders are the consortium of Aboitiz Renewables Inc., Electric Power Development Co. and Sumitomo Corp. (Thunder consortium); First Gen Prime Energy Corp.; Giga Ace 11 Inc.; Korea Water Resources Corp.; Marubeni Corp.; and Semirara Mining and Power Corp.
SMPC officials, however, earlier said they would not likely offer a bid.
The CBK plant complex is under a build-rehabilitate-operate-transfer (BROT) and power purchase agreement (PPA) between the CBK Power Company Ltd. and the National Power Corp. for 25 years from its effectivity on Feb. 7, 2001 or until February 2026.
PSALM tapped the Asian Development Bank as the transaction advisor contract to monetize CBK hydro power plants. The Department of Finance hope to raise P50 billion to P100 billion from the CBK privatization.
PSALM turned over this year the 165-megawatt Casecnan Hydroelectric Power Plant (CHEPP) to Lopez-led Fresh River Lakes Corp. (FLRC).
PSALM declared FRLC as the highest bidder on May 16, 2023, with its offer of $526 million during the public bidding for the sale of CHEPP.
