State-owned PSALM delays sale of Malaya Thermal Plant

Malaya Thermal Plant can be privatized this year – DOE

The Power Sector Assets and Liabilities Management Corporation (PSALM) has delayed the sale of the 650 megawatt (MW) Malaya Thermal Power Plant (TPP) following the energy department’s proposal to convert it into a liquefied natural gas (LNG) plant.

“The bidding date has been moved to March 30 with the same bidders. The final transaction document will take into consideration the requirement of DOE for the Malaya’s conversion to a baseload LNG plant. This is currently under discussion and we will defer to our board,” PSALM officer – in – charge Lourdes Alzona said.

The bidding for the Malaya TPP was initially set on March 8.

Earlier, energy secretary Alfonso Cusi said that he wants to convert Malaya TPP into an LNG facility to assure reliable power supply in the near future.

The conversion will also allow a cleaner, more efficient and reliable power plant for the country, Cusi said.

PSALM is also waiting for DOE’s instruction on the privatization of the power plant.

The Malaya PTT currently runs on diesel and was designated as a must – run unit (MRU) to correspond to supply shortage in the event when operating power plants in the grid suddenly shut down.

It will remain as an MRU until DOE finalizes it privatization schedule.

Power companies APT Global Inc, Phinma Energy Corp, Riverbend Consolidated Mining Corp. and AC Energy Holdings have expressed their interest in the Malaya plant. Photo from