AboitizPower confirms expiration of emergency PSA with MERALCO

The Aboitiz Power Corporation has confirmed the expiration of its 300-megawatt (MW) emergency power supply agreement (ePSA) with the Manila Electric Co. (MERALCO) on Wednesday, January 25. 

The PSA, involves 300 MW in capacity from GNPower Dinginin Ltd.’s (GNDP) 1,336 MW plant in Mariveles, Bataan with a fixed price of Php 5.95 per kilowatt-hour. 

“We remain grateful for the opportunity to contribute to the delivery of a much-needed energy supply covering the MERALCO franchise. In the event that MERALCO launches another competitive selection process (CSP), where the terms of reference will be reasonable, AboitizPower will certainly participate,” Aboitiz Power said in a statement 

MERALCO earlier said that the ePSA may be extended after receiving advice from AboitizPower that it will extend an offer after January 25. 

In December, Aboitiz Power, through GNDP, and MERALCO signed a 300 MW baseload emergency supply deal that partially replaced the 670 MW capacity under the latter’s PSA with South Premiere Power Corporation (SPPC), which was subject to a temporary restraining order (TRO) issued by the Court of Appeals. 

MERALCO, for the time being, will be sourcing the 670 MW capacity from the Wholesale Electricity Spot Market (WESM) beginning Thursday, January 26. 

MERALCO has also asked GNPD to “extend the term of the ePSA.”