The Department of Energy wants certain changes made on three stipulations for an upcoming competitive selection process (CSP) of Manila Electric Company’s (Meralco) power supply agreement (PSA).
The PSA involves a new power plant with a capacity requirement of 1,200 megawatts (MW).
Energy Secretary Alfonso G. Cusi told Meralco and the third-party bids and awards committee (TPBAC) it should no longer require the power plant to make use of high efficiency, low emissions technology.
Also, the 1,200 MW capacity should be divided into smaller capacities and Meralco must refrain from distinguishing new plants (known as greenfield) from existing ones (brownfield) “and should accept offers from existing plants, plants currently under construction and new plants to be built.”
In his letter to Meralco and TPBAC, Cusi said qualified bidders can bid individually for any part of the 1,200 MW requirement.
“Meralco will aggregate the lowest-cost combination of bids; stacked starting from the lowest-cost offer until the total 1,200 MW is fulfilled,” he said.
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