Power retailer Manila Electric Co. (Meralco) said Tuesday it secured the lowest rate for its 400-megawatt (MW) mid-merit supply requirement from Aboitiz Power Corp.-led GNPower Dinginin Ltd. Co. (GNPD).
“Just like in the past, this CSP has fulfilled the objective of securing the needed power supply for customers at the least cost possible through an open and transparent process,” Meralco bids and awards committee-power supply agreement (BAC-PSA) chairman Lawrence Fernandez said.
Meralco declared GNPD’s offer of P7.6816 per kilowatt-hour total levelized cost of electricity (LCOE) for the entire 400-MW requirement as the best bid during the bid opening for the competitive selection process (CSP) Tuesday.
GNPD runs a 1,336-MW coal-fired power plant in Mariveles, Bataan.
Three generation companies submitted their qualification documents, technical proposal and bid price including GNPD. All the offers were lower than the P8.0585 per kWh reserve price for LCOE set for the bidding.
Meralco declared as possible next best bids the offer of San Miguel Corp. power companies. These are the offers of Sual Power Inc., which submitted P7.7416 per kWh for 300-MW of supply and Masinloc Power Co. Ltd which submitted a P7.8567-per-kWh bid for 200 MW of the supply requirement.
All submissions passed the criteria contained in bidding documents and pre-qualification evaluation, according to Meralco’s BAC-PSA.
The BAC-PSA will conduct a post-qualification evaluation prior to issuance of notice of award and execution of the power supply agreement (PSA) with the winning bidder.
CSP observers, which included consumer groups, also witnessed the submission of bids. The proceedings were also streamed live on Meralco’s YouTube page.
Meralco said that as a highly regulated entity, it conducted the CSP in full compliance with the rules and regulations issued by the Energy Regulatory Commission (ERC) and the Department of Energy (DOE).
The resulting 15-year PSA for Meralco’s 400-MW mid-merit requirement will be subject to regulatory proceedings and approval of the ERC prior to the planned effectivity on Aug. 26, 2025.
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