Meralco names lowest bid for 400-MW power supply requirement

The Manila Electric Company (Meralco) on Tuesday named the lowest bidder for its 400-megawatt (MW) power supply requirement.

In a news release, Meralco said Limay Power Inc. offered the lowest bid through a Competitive Selection Process (CSP) conducted on February 27.

Limay Power submitted a total electricity rate of P6.2708 per kilowatt-hour (kWh), inclusive of value-added tax (VAT) and line rental, for the entire 400-MW baseload requirement.

Limay Power bested the offer of Masinloc Power Co. Ltd., which submitted a rate of P6.2957 per kWh, VAT and line rental inclusive, but for only a 195-MW capacity.

Meralco said both offers complied with the P6.3512 per kWh reserve price set for the bidding.

The company said both submissions passed the criteria contained in bidding documents and pre-qualification evaluation set by its Bids and Awards Committee for Power Supply Agreements (BAC-PSA).

Following the naming of the best bid, Meralco said the BAC-PSA would conduct a post-qualification evaluation and submit its recommendation and report to Meralco’s Board of Directors for approval of Limay Power as the winning power supplier.

The CSP was in accordance with DOE Department Circular No. DC2023- 06-0021, Series of 2023, and Energy Regulatory Commission (ERC) Resolution No. 16, Series of 2023, which require that the bid be conducted openly and transparently, according to the power distributor.

The power supply deal would be implemented once it secured approval from the Energy Regulatory Commission and was targeted to be effective until February 2025. — DVM, GMA Integrated News