Mauban Quezon Coal Fired power plant. Photo: alvinrexlucero.wordpress.com
The power-generating arm of the Manila Electric Co. (Meralco) will bid out the engineering, procurement and construction (EPC) contract for the 460-megawatt (MW) coal-fired power plant in Mauban, Quezon, before the year ends.
Meralco PowerGen (MGen) and New Growth B.V., a wholly owned subsidiary of the EGCO Group of Thailand, agreed in August to develop the coal-fired power plant targeted for commissioning in 2017.
MGen Executive Vice President and General Manager Aaron Domingo said last week that full development activities are currently underway.
For instance, the company has started to issue bid invites for the EPC contract.
"Invitations to bid to a short-list of EPC candidates have been issued. Firm EPC bids are due by the last quarter of this year," Domingo said.
The company has also issued bid invites for interested financial advisors. "Invitations to bid to a shortlist of potential financial advisors have been issued. Financial advisor to be appointed within the last quarter of this year," added Domingo.
The target financial closing for the project is expected by the second or third quarter of 2014.
MGen will own 51 percent of the power facility, including rights to assign up to 2 percent to an approved assignee, while New Growth B.V. holds the remaining 49 percent.
EGCO, the owner and operator of Quezon Power Philippines Ltd. (QPPL), also owns a coal plant in the same municipality that the Thai firm acquired from US-based Intergen last year. The same power plant has a 25-year agreement to supply Meralco with electricity.
Back then, QPPL Managing Director Frank Thiel said EGCO intends to partner again with Meralco. "We don't consider Meralco just as an offtaker. Meralco has been a partner all along. Without them, this project will not exist. We're working with them, we engage with them every other week to update them on where we are in the project," Thiel said.
Thiel said EGCO intends to expand its presence in the Philippines, whether in traditional or renewable power generation. These may include hydropower and natural gas power sources. – Business Mirror
