ALCANTARA-led Alsons Power Group is “very much interested” to participate in the privatization of the 982-megawatt (MW) bid for the Agus-Pulangi hydropower plants in Mindanao.
“Agus and Pulangi are interesting prospects. We believe that power supply from Alsons will be more competitive if we have a significant hydro,” Alsons Consolidated Resources Inc. (Acri) Vice President for Project Development Joseph Nocos said.
The hydro facility is scheduled for privatization in 2017, according to Emmanuel Ledesma Jr., Power Sector Assets and Liabilities Management Corp. (Psalm) president. “However, this is subject to consultation with the JCPC (Joint Congressional Power Commission).” The privatization of the hydropower plants is being opposed by some Mindanao lawmakers and consumer groups, fearing it could result in power-rate hikes.
The Psalm is the government agency tasked to privatize state-owned power assets previously owned by the National Power Corp.
Ledesma said many are interested to bid for the Agus-Pulangi complex, which supplies more than half of Mindanao’s electricity requirements, “which explains the interest generated.” The Aboitiz group is also interested to bid for the power asset.
“We understand that there are still hosts of issues needed to be resolved but we will just wait for the direction from the government,” Nocos added.
Alsons, he said, aims to have a well-balanced generation mix. The power firm operates diesel plants in Mindanao. It is also developing coal-fired power plants.
Alson said its subsidiary Sarangani Energy Corp. is on track to begin commercial operations in the fourth quarter of the year of the first 105 MW section of its 210-MW coal-fired power plant at Maasim, Sarangani.
The plant will begin commissioning within the first half of 2015, the company said in a separate disclosure.
At $570 million, the Sarangani Energy plant is the single largest investment in the province of Sarangani and the entire Region 12. Aside from the Sarangani plant, Alsons Power is also developing the 105-MW San Ramon Power Inc. coal-fired power plant in Zamboanga City.
The soon-to-open Sarangani Energy plant is also intended to be part of a long-term solution to the ongoing power crisis in Mindanao.