Philippines Plans Auction Of Geothermal Power Plants In '08
MANILA -(Dow Jones)- The Philippine government plans to auction off at least five more power plants of state utility National Power Corp. next year, an official of the agency tasked with handling the privatization said over the weekend.
Most of the facilities run on geothermal energy.
Froilan Tampinco, vice president for asset management of the Power Sector Assets & Liabilities Management Corp., or Psalm, said lined up for sale next year are the 685-megawatt Tiwi-MakBan geothermal power plant complex located in the provinces of Bicol and Laguna, the 112-MW Tongonan geothermal and 220-MW diesel power plant package in Leyte and Bohol, and the 150-MW Bacon-Manito geothermal plant in Sorsogon.
Last week, Psalm sold the 600-MW Calaca coal-fired power plant located in Batangas province to Calaca Holdco Inc., a special purpose company of Suez Tracetebel SA, for $786.5 million.
In July, another 600-MW power plant was successfully auctioned off - the Masinloc facility in Zambales province. The local subsidiary of U.S. firm AES Corp. (AES) was awarded the plant with a bid of $930 million.
The latest sale brought the privatization level of National Power's capacities in the islands of Luzon and Visayas to 38.6%, closer to its 50% privatization target for the year.
During the remainder of this year, Psalm plans to sell the 175-MW Ambuklao- Binga hydropower plant Nov. 28 and the 192-MW Palinpinon geothermal and 146.5-MW Panay diesel-fired power plant package Dec. 5.
The government has been selling National Power's assets to pay down debts and pave the way for the entry of more private investments in the capital-intensive industry.