The Power Sector Assets and Liabilities Management Corp. (PSALM) looks to cut its financial obligations to P306.6 billion by the end of the year.
Dennis Edward Dela Serna, PSALM president and chief executive officer, told a legislative panel last week the obligation should improve by 2.8 percent from P315.3 billion worth of financial obligations as of the first six months this year.
Dela Serna said that thus far the PSALM has privatized 45 power plants or 82 percent of the portfolio that used to be owned and operated by government through the National Power Corp. (NPC) and disposed of its transmission business and some real estate assets.
According to him, the PSALM is keen on closing the sale of the 165-megawatt Casecnan hydro power plant in Nueva Ecija and collect the $526 million winning bid from Fresh River Lakes Corp., subsidiary unit of First Gen Corp.
“We want to privatize the remaining power plants of PSALM in the likes of CBK (hydro plant), the Mindanao coal-fired power plant and the remaining big ticket real estate assets in Bagac, Sucat and Baguio. We hope to enter into a long-term rehabilitation plan for the Agus and Pulangi hydro power plants,” Dela Serna said.
PSALM is mandated to privatize power related assets owned by government to pay for outstanding financial obligations inherited from the National Power Corp.
