The Power Sector Assets and Liabilities Management Corp. (PSALM) has completed the P2.945-billion sale of properties surrounding the Pagbilao power facility to AboitizPower Corp.’s Therma Luzon Inc. (TLI), advancing the government’s privatization of power assets while giving the operator long-term control over land supporting a key generation facility.

PSALM confirmed on Wednesday that it formalized the acquisition with TLI, covering about 1.06 million square meters of land, through a ceremonial signing on 25 August.

The acquisition also gives TLI and parent AboitizPower greater control over the property supporting their operations in Pagbilao, Quezon, as power producers position their assets to meet the country’s growing electricity requirements.

“The ceremonial signing marks the successful conclusion of one of PSALM’s privatization targets and reflects the shared commitment between government and private sector stakeholders to energy security and national development,” PSALM President and CEO Dennis Edward A. Dela Serna said.

PSALM said the transaction represents a long-term commitment by TLI and AboitizPower to Pagbilao, including the continued responsible operation of the facility and support for the country’s energy requirements.

The agency is separately seeking at least P11.09 billion from the sale of a prime government property in Diliman, Quezon City, putting nearly four hectares of land on the auction block for private investors.

The agency is offering 39,698 square meters of net salable land on an “As-Is, Where-Is” basis. The property forms part of a larger 51,948-square-meter site, with 12,250 square meters excluded from the sale.

PSALM, which manages state power assets under the Electric Power Industry Reform Act of 2001, has been disposing of and rehabilitating assets as part of its privatization mandate.

Among its major transactions was the sale of the 165-megawatt Casecnan hydro plant to First Gen’s Fresh River Lakes Corp. for $526 million.