The Manila Electric Company (MERALCO) secured, through a Competitive Selection Process (CSP), the best bid offer from Limay Power, Inc. for its 400 megawatts (MW) interim supply requirement.

Out of the three bidders who voiced their interest in participating in the CSP, only two confirmed after submitting their qualification documents, technical proposal, and bid price; with Limay Power offering a total headline electricity rate of Php 6.2708 per kilowatt-hour (kWh).

Limay’s offer already included the value-added tax (VAT) as well as line rental for the entire 400 MW requirement.

Meanwhile, Masinloc Power Co. Ltd. offered the next best bid of Php 6.2957 per kWh, with VAT and line rental inclusion for 195 MW capacity.

MERALCO’s Bid and Awards Committee for Power Supply Agreements (BAC-PSA) said that both submissions had passed the criteria exhibited in the bidding documents and pre-qualification evaluation, as both secured the Php 6.3512 per kWh price set for bidding. 

Now, the BAC-PSA will supervise a post-qualification evaluation to submit its report and recommendation to the Board of Directors for approval before issuing the Notice of Award.

The Power Supply Procurement Plan (PSPP), which had been approved by the Department of Energy (DOE), was created to ensure that available capacity would be able to supplement supply to customers through an Interim Power Supply Agreement (IPSA).

Once approved by the Energy Regulatory Commission following regulatory procedures, the subsequent IPSA will come into effect and remain valid until February 2025.