48 firms eye Napocor generating assets

A total of 48 companies have signified interest in the bidding for the genereating assets of National Power Corp. (Napocor) an official of the Power Sector Assets and Management Corp. (PSALM) said.

"As of March 20, 48 companies submitted expression of interest, about 40 of which have already bought information memorandum," PSALM vice president for assets disposal Froilan Tampinco said.

Tampinco said they will auction off today (March 25) the Talomo power plant in Davao, the first generating asset to be privatized within the year.

In line with the sale of the generating assets, Tampinco said Napocor and PSALM are now firming up their operation and management agreement (O&M).

The agreement will effectively transfer to PSALM the O&M functions of Napocor in these power plants.

He said PSALM is committed to privatize Napocor’s generating assets amid the uncertainties in the country’s political arena.

"We would be happy if we could issue public notices for the sale of these generating assets after the May elections," he said.

Earlier estimates show that the government could raise about $2 billion from the sale of the generating assets of Napocor.

Next month, PSALM will auction off three more power plants in Bohol and Loboc. By May, it expects to sell Agusan, Barit/Cawayan, Bataan Thermal and Manila Thermal plants.

In June, five more plants are expected to be sold. These are Aplaya, General Santos, Cebu II, Pinamucan/Panay, and Masinloc.

PSALM will sell a total of 35 power plants in eight groups, while 18 power facilities will be sold