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THE
Department of Energy (DOE) has created an evaluation
team to review the procurement system of the National
Power Corp. (Napocor) for its fuel requirements, such as
coal, diesel and bunker fuel, amid persistent
accusations of less-than-transparent dealings in the
award of huge supply contracts.
Officials said they want to ensure that the procurement
process of the state-run power firm is attuned to the
policies of the Government Procurement Policy Board (GPPB)
and the government’s thrust of transparency and
accountability.
“We are
doing this to ensure and enhance transparency, and
generate efficiency—which would [result] in the lowering
of power and electricity costs,” Energy Secretary Angelo
Reyes said in a press conference.
The
energy chief said the evaluation team will, among
others, examine the entire procurement process; review
forecasting of the required and desirable inventory
level; and review the process in order to minimize
negotiations in the fuel procurement of Napocor.
Reyes
emphasized that all fuel procurements should be done
through public bidding.
The
evaluation team will develop a manual of procurement for
Napocor to be approved by the Napocor board.
The
energy chief said they also ordered the fast-tracking of
the transfer of the books from Napocor to the Power
Sector Assets and Liabilities Management Corp. (PSALM)
for the privatized assets.
“The
evaluation team will also review the three annual
procurement plan, which is being submitted to the GPPB,”
said Reyes, adding that the evaluation committee will
finish the review within one month.
The team
will be composed of Energy Undersecretary Roy Kyamko as
chairman; Finance Undersecretary Jeremias Paul as vice
chairman; representatives from the Department of Budget
Management (DBM), National Economic and Development
Authority (Neda), PSALM, National Transmission Corp.
(Transco) and the legal officer of DOE as members.
Former Energy undersecretary Melinda Ocampo will serve
as consultant.
Reyes
said the evaluation team will review the entire
procurement process of Napocor, and that the board has
created an executive committee to pass over all
procurements before these are presented to the board for
approval.
The
Napocor board executive Committee will be composed of
the DOF representative as chairman with members from the
DOE, Neda, and Napocor and PSALM as observers.
“We are
doing this in response to the call for transparency and
efficiency,” said Reyes, adding that they would also
look into the procurement of the transmission and
distribution sectors thereafter.
“But the
moment they [Napocor generating assets] are privatized,
and I assume they would want to do their own
procurement, they will do their own procurement. But in
the meantime, for those that remain with the government,
it is the duty of the DOE to see to it we generate the
maximum efficiency and transparency in all the
processes,” Reyes said. |
