PSALM seeks bidders for P15-B fuel supply contracts

MANILA, Philippines–State-run Power Sector Assets and Liabilities Management Corp. is seeking offers for the supply and delivery of P15 billion worth of industrial fuel oil to serve the requirements of four critical power facilities this year.

In an invitation to prospective bidders, PSALM said that it would need 135 million liters of industrial fuel oil, valued at P4.12 billion for the 650-megawatt Malaya thermal power plant in Rizal this year, and another 132.98 million liters worth roughly P4.48 billion for the 146-MW Naga power plant complex in Cebu.

Another 77.36 million liters of industrial fuel oil worth P2.39 billion will be needed for the 55-MW bunker-C fired power station in Sarangani of Southern Philippines Power Corp., and 128 million liters, valued at P3.94 billion for the Zamboanga City-based 100-MW diesel facility of Western Mindanao Power Corp.

According to PSALM, bidders shall have the option to bid on any or all of the contracts as the evaluation of the bids and awarding of contracts will be undertaken on a “per plant” basis.

Bidding shall be conducted through open competitive bidding procedures using a non-discretionary “pass or fail” criterion. Interested groups may already purchase the bidding documents, which were made available starting Thursday, Jan. 31.

A pre-bid conference, which will allow interested bidders to thresh out any concerns with PSALM, will be held on Feb. 7 this year, while the deadline for submission of bids will be at 10 a.m., Feb. 19.

PSALM now manages and conducts the bidding processes for fuel procurement as it has taken from another state agency, National Power Corp. (Napocor), the management of all government-owned power plants and contracted capacities, including their privatization.

The ownership of the assets and the independent power producer administrator contracts for these four facilities have yet to be divested by the government.