6 potential bidders for Sucat plant

MANILA, Philippines -  Six companies have expressed interest in the privatization of the decommissioned 850-megawatt (MW) Sucat thermal power plant (STPP) in Muntinlupa City, the Power Sector Assets and Liabilities Management Corp. (PSALM) said.

The potential bidders are United Metro Steel Philippines Corp., Riverbend Consolidated Mining Corp., Aluminum Recycling Specialist Inc., VPD Trading, Azzions Recycling Solutions Inc. and GG Uy Bonapor Metal Contractors, PSALM officer-in-charge Lourdes Alzona said in a text message.

 “Note that all these bidders will still be subject to pre-qualification evaluation,” she said.

The six companies have attended a pre-bid conference aimed to clarify provisions on the sale of STPP and help the bidders arrive at an optimal business decision, among other concerns.

The state-run firm, however, will still continue to accept letters of interest (LOI) for the Sucat plant until April 24.

The deadline for the LOIs has been extended to attract more participants and generate a more competitive privatization process for STPP.

PSALM has set the bid opening on May 31.

 “The successful sale of this asset advances the interest of the government as the proceeds will be part of the additional funding source for the liquidation of the National Power Corp.’s debts assumed by PSALM,” Alzona said.

The STPP has been put up for sale twice – in 2014 and in 2016 – but both have been declared failed biddings.

The sale involved all structures, plant equipment, auxiliaries and accessories of the idle thermal power plant.

The Sucat plant consists of Unit 1, which has a rated capacity of 150 MW; Units 2 and 3, each with 200 MW; and Unit 4, which is rated at 300 MW.

It was previously owned by Manila Electric Co. (Meralco) but was acquired by National Power Corp. (Napocor) in November 1978.

Formerly known as the Gardner Snyder Thermal Plant, the plant started commercial operations in 1968 with the completion of Unit 1.