After an initial rejection, the Power Sector Assets and Liabilities Management (PSALM) Corp. on Thursday added Semirara Mining and Power Corp. (SMPC) as bidder in the upcoming sale of the 165-megawatt Casecnan Hydroelectric power plant.
ISMPC was initially disqualified due to its non-submission of business tax returns forming part of the documentary deliverables required under the bidding rules.
SMPC appealed for a reconsideration and submitted documents supporting its exemption from paying business taxes and the filing tax of returns the PSALM accepted.
SMPC joins seven other firms looking to acquire the hydropower plant.
The business entities who prequalified include First Gen Corp. through Fresh River Lakes Corp.; SN Aboitiz Power Corp. through Neptune Hydro Inc.; Meralco PowerGen Corp. through Global Hydro Power Corp.; Panasia Energy Inc.; AC Energy through GigaAce 11 Inc.; Belgrove Power Corp.; and the consortium of EEI Power Corp., Soosan ENS. Co. Ltd., Soosan Industries Co. Ltd. and Mapalad Power Corp.
The Casecnan plant is a run-of-river hydro power plant with a limited impounding area in Pantabangan, Nueva Ecija covered by a build-operate-transfer agreement that lapsed in December 2021.
The submission of bids is only until 16 May this year. The facility is sold under an as-is, where-is basis with the proceeds shared the National Irrigation Administration 60:40, with the PSALM getting the higher allocation.
PSALM is mandated to privatize power-related assets to help pay for outstanding financial obligations inherited from the National Power Corp. worth P346.8 billion as of end-2022.
