The government has officially turned over the 1,200-megawatt (MW) Ilijan gas-fired power plant to San Miguel Corporation’s power arm, SMC Global Power Holdings Corp. (SMCGP).
In a disclosure to the Philippine Dealing and Exchange Corp. (PDEx), SMCGP said that the power plant was turned over by the Power Sector Assets and Liabilities Management Corp. (PSALM) to its unit South Premiere Power Corp. (SPPC) after a deed of sale executed on June 3, Friday.
SPPC was appointed as Ilijan’s independent power producer administrator (IPPA) during the facility’s privatization in 2010.
The Ilijan plant was awarded to PSALM and operator Korea Electric Power Corporation (KEPCO), through its unit KEPCO Ilijan Corporation in December 1996. PSALM took over the National Power Corporation’s power generation assets, including Ilijan, by virtue of Republic Act 9136 or the Electric Power Industry Reform Act (EPIRA). The build-operate-transfer contract expired this month.
Just this Monday, the Malampaya consortium announced that it is concluding its gas supply and purchase agreement with the Ilijan plant. The power plant is expected to be supplied by Atlantic, Gulf, and Pacific Co. local unit Linseed Field Power Corporation’s liquefied natural gas (LNG) import terminal.
As of end-2020, PSALM said that SPPC still owes it Php 23.97 billion in generation payments.