PSALM leases property to Coast Guard

The Power Sector Assets and Liabilities Management Corp. (PSALM) has leased a portion of its Port Area property to the Philippine Coast Guard (PCG) as part of efforts on the disposition of the state firm’s remaining assets.

PSALM said in a statement the lease on an “as is, where is” basis would help address costs incurred for the maintenance of the property and, thus, maximize its use.

A lease contract was signed last Sept. 12, providing PCG additional office for its planned expansion.

The property is part of the assets transferred by the National Power Corp. to Psalm when the latter was created pursuant to the Electric Power Industry Reform Act of 2001.

“The lease contract is an exercise of PSALM’s fiscal prudence as it provides additional income to cover the expenses of maintaining the property,” the state firm said.

As of last June, PSALM has privatized P918.5 billion worth of assets, of which amount 59 percent or P545.3 billion has been collected.

The most recently privatized PSALM assets include more than 900 hectares of real estate power assets, Power Barge 104, and the decommissioned Sucat Thermal Power Plant.

Also, PSALM has set a minimum bid price of P885.75 million for the parcel of land that hosts Manila Thermal Power Plant located along the Pasig River.

The state firm first published an invitation to interested bidders in December 2017, and is now updating this with a board-approved minimum bid price.

The property that is up for auction—located in Isla de Provisor in Paco, Manila—totals 20,975 square meters.