PSALM head faces plunder raps

San Miguel alleged that a June 2009 memorandum of agreement between PSALM, TPEC and TSC, which served as the independent power producer for the Sual Power Station, was disadvantageous to the government because it resulted in a loss of about P14 billion. Philstar.com/File

MANILA, Philippines - The head of the state-run Power Sector Assets and Liabilities Management (PSALM) Corp. has been charged with plunder before the Department of Justice over an alleged P14-billion loss in a 2009 contract with an independent power producer for the Sual Power Plant in Pangasinan.

San Miguel Energy Corp., in a 20-page complaint, stated that PSALM president and chief executive officer Lourdes Alzona violated Section 3(e) of Republic Act 3019 or the Anti-Graft and Corrupt Practices Act.

It also included in the complaint Suguru Tsuzaki, president of Team Philippines Energy Corp. (TPEC), and Kochi Tamura, executive vice president of Team Sual Corp. (TSC).

San Miguel alleged that a June 2009 memorandum of agreement between PSALM, TPEC and TSC, which served as the independent power producer for the Sual Power Station, was disadvantageous to the government because it resulted in a loss of about P14 billion.

It pointed out that the agreement gave birth to the concept of  “excess capacity,” which allows TSC or TPEC to market, offer, sell and supply its nominal excess capacity to any customer, independent of and without paying fees to either the PSALM or National Power Corp.

San Miguel also alleged that TPEC has always been given priority in the transactions, prompting it to question the agreement. However, San Miguel felt that the resolution was tipped to favor TPEC.

It claimed that all the elements of plunder are present in this case and that the ill-gotten wealth came from a series or combination of payments made to TPEC as anchored on the agreement.

It also said that Alzona connived with TPEC and TSC by continuing the implementation of the questioned agreement.

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