Antitrust body okays BCDA, Meralco-led consortium deal for New Clark City
MANILA, Philippines — The Philippine Competition Commission greenlighted the proposed joint venture between state-owned corporation Bases Conversion and Development Authority and a consortium led by Manila Electric Company — the country’s largest power utility — to manage the distribution of electricity in New Clark City.
Last April, Meralco and its consortium partners — Marubeni Corporation, Kansai Electric Power Co., Inc. and Chubu Electric Power Co. — inked a deal with the BCDA to build and operate a “smart distribution electricity infrastructure” in New Clark City for an initial period of 25 years.
In a decision dated June 25 but made public on Wednesday, the country’s antitrust regulators said the transaction “will not likely result in substantial lessening of competition.”
Under the agreement, the consortium will have 90% equity stake in the joint venture company, with BCDA holding the remaining 10%.
BCDA is promoting New Clark City as the country’s first smart, green and sustainable metropolis.
New Clark City will have the first completely smart power grid in the country.
The smart power grid, which would be supported by state-of-the-art facilities, would be comparable with other smart cities in the world and have high reliability standards.
It will also allow locators to see real-time information from the distribution utility to better manage their electricity consumption. — Ian Nicolas Cigaral
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