The Manila Electric Co. (Meralco) is soliciting bid offers to challenge the unsolicited proposal of Solar Philippines Batangas Baseload Corp.’s (SPBBC) 200 megawatts (MW) of baseload supply starting 2024.
The utility firm said on Wednesday it has commenced the competitive selection process (CSP). Interested challengers have until August 31 to submit their Expressions of Interest. The pre-bid conference is scheduled on September 1, while the bid submission deadline is set on October 5.
The Meralco Third-Party Bids and Awards Committee said it would not accept late submissions and requests for additional time in all stages of the bidding process.
SPBBC has offered a P4.65 per kilowatt-hour (kWh) headline rate at 100 percent plant capacity factor and a similar rate for the levelized cost of electricity for a period of 20 years. It proposed to source the 200-MW contract capacity and guaranteed output from its 1,800 MW solar project with 1,800 MWh of battery storage currently under development.
To ensure the availability of 24/7 supply, SPBBC may also get back-up power from other plants in its renewable energy (RE) portfolio. The company has proposed solar power plants with energy storage system (ESS) in Batangas, Cavite and Laguna.
The CSP Terms of Reference provides that offers, which should cover the full contract capacity, may be sourced from a single or portfolio of power plants with commercial operations not earlier than February 2019 but not later than March 2024.
This CSP forms part of Meralco’s sourcing activities that will ensure availability of reliable, sufficient and cost-competitive power for its customers.
Meralco is also conducting a competitive challenge for Ahunan Power’s proposal to supply 500-MW mid-merit requirement from RE starting 2026, and is negotiating for another mid-merit offer of Terra Solar covering 850 MW of RE supply.
These CSPs are in compliance with the Department of Energy’s Renewable Portfolio Standards policy and part of Meralco’s efforts to source up to 1,500 MW of its power requirements from RE sources.
