Limay gas plant owner gets neighboring Bataan thermal plant site

PSALM BTPP bidding

The site of the old 225-megawatt (MW) Bataan Thermal Power Plant (BTPP) has a new owner in one of its neighbors.

Panasia Energy, Inc., which manages the nearby 648MW Limay Combined-Cycle Gas Turbine plant, was declared the new owner of the old BTPP site in a bidding conducted by government-owned Power Sector Assets and Liabilities Management Corporation (PSALM) on Tuesday.

The firm bagged the property after submitting a Php1.02 billion bid, the highest of four bids PSALM received. Panasia’s bid was almost five times Limay property’s valuation, pegged by the Land Bank of the Philippines at Php209.3 million and was four times PSALM’s minimum bid price of Php250.4 million

PSALM said the winning bid is still subject to the post qualification process to verify the accuracy and authenticity of the documents and information submitted.  

“[W]e are very pleased with the result of the privatization process for the Limay Asset. This shows that doing a genuine competitive public bidding truly provides a clear advantage for the government,” said PSALM President and CEO Atty. Irene Besido-Garcia.

A total of seven parties were interested for the bidding, which included Lucio Co’s Bellagio Holdings and Fort Pilar Energy, which is owned by the family of businessman-politician Michael “Mikee” Romero.

PSALM said, however, that three bidders dropped out. Cordillera Hydro Corporation and Sta. Clara International Corporation formally notified PSALM of their decision not to further participate. Bellagio, meanwhile, did not appear during the actual bidding.

Aside from Panasia and Fort Pilar Energy, Pan Pacific Renewable Power Phils. Corp and a certain Laylani Latina De Vera were the final bidders.

Panasia’s new acquisition is expected to be advantageous to them since the National Grid Corporation of the Philippines’ Limay substation is sandwiched in between the old BTPP site and the Limay gas plant.