Last July 31, Napocor’s Bids and Contracts Services Department (BCSD) declared a failure of bidding in the auction for the additional fuel needs of the Bantayan diesel power plant, the Doong diesel power plant and Power Barge 116.
In a report, the BCSD said that Petron Corp. and Caltex (Phils.) Inc. had originally secured tender documents for last Thursday’s electronic bidding.
However, Petron withdrew a day before the bidding as it reasoned it did not have the necessary infrastructure or facilities to ensure the safe and efficient delivery of fuel to the three power plants, which are located in the remote islands of Cebu.
Caltex, on the other hand was disqualified from bidding due to its insufficient net financial contracting capacity (NFCC) amounting to negative P38.22 million, way below the Napocor-set NFCC of roughly P36 million.
Under the government’s bidding guidelines, a prospective bidder’s NFCC, based on net working capital, must be equal to or higher than the approved budget for the contract under bidding.
Napocor’s Contracts Awards Committee is scheduled to meet today to discuss the possible rebidding of the three fuel supply contracts, which have an estimated value of P35 million involving a total of 2,196 kiloliters (KL) of diesel. (A kiloliter is equivalent to 1,000 liters.)
Of the three power plants, Bantayan has the biggest supply requirement at 1,553 KL, with the contract valued at P25.47 million.
PB 116, on the other hand, needs 604 KL, with an approved contract budget of P9.92 million while Doong’s diesel requirement has been placed at 39 KL, with the contract valued at P639,550.82.