PSALM eyeing privatization of Mindanao coal plant


Power Sector Assets and Liabilities Management Corporation (PSALM) is planning to privatize the power purchase agreement (PPA) of the 200-megawatt  Mindanao coal-fired power plant in 2022.

Germany-based firm STEAG State Power Inc. currently operates the coal plant and has a build-operate-transfer (BOT) contract that lasts until November 15, 2031, as reported in a Manila Bulletin article.

PSALM President Irene Joy Garcia said that the 797.92 MW Caliraya-Botocan-Kalayaan (CBK) hydro facility and the 150 MW Casecnan hydro plant are also up for privatization in 2020 and 2021 respectively. 

The Asian Development Bank will conduct a feasibility study for the CBK and Casecnan hydro plants and is set for completion in the next six months.

The rebidding of the 650 MW Malaya thermal power facility is also expected to take place this year. 

The 1001.10MW Angus Pulangui hydropower complex will remain under PSALM’s responsibility.

The Angus Pulangui hydropower facilities was tried to be privatized but there was strong opposition from stakeholders in Mindanao. Congress even had a difficult time coming up with a decision.