CALAPAN CITY, Oriental Mindoro – Former Oriental Mindoro Rep. Rodolfo G. Valencia has called on the public and stakeholders of the local power sector to closely monitor the bidding process for the 57-megawatt power supply in the province to avoid the repetition of a previous competitive selection process (CSP)  nullified for being tainted with irregularity.

VALENCIA (FB)

Valencia said his call was prompted by his moral duty to safeguard the best interest of electricity consumers. 

“What we just want is to have a clean, credible, and honest bidding. And we don’t want that the incident last year will be repeated,” Valencia said on Tuesday, Oct. 29, referring to a bidding for the 41-MW guaranteed dependable capacity (GDC) power supply in 2022 and early 2023 which was originally eyed to supply the province with electricity for 68 months from 2023 until October 2030.

The National Electrification Administration nullified the CSP after the agency found out that the CSP conducted by the Third Party Bids and Awards Committee and Oriental Mindoro Electric Cooperative Board allegedly contravened the principles of true competition, transparency, and fairness and violative of existing CSP rules, NEA policies, and pertinent laws.

“The said CSP is therefore null and void and without effect whatsoever,” NEA said in an order dated May 16, 2023.

On June 22, 2023, Valencia, as chairman of the board of the Alliance of Stakeholders for Sufficient and Affordable Power Inc. (ASSAP), a non-government organization, received a letter from Claudette G. Ubaldo-Dema, officer-in-charge of the NEA-Regulatory Affairs Office (RAO), informing him that the CSP for the 41-megawatt power supply was indeed tainted with irregularity and cannot be relied upon.

Th NEA promised ASSAP that it will “closely monitor Ormeco's actions and plans in ensuring electricity provisions in the area with stern reminder over fulfillment of its responsibility as distribution utility and compliance to appropriate rules and regulations affecting its operation.”    

Last Aug. 10, Ormeco's Special Party Bids and Awards committee announced the conduct of a CSP for the construction, installation, operation, and maintenance of power plants for the 57-MW GDC power supply.

The subject bidding will be for at least seven lots or power plants which are scattered in the province such as in Calapan City for Lot 1, with five MW   baseload, Lot 2, 10 MW, and Lot 3, five MW.

In Naujan, a five-MW plant which will be known as Lot 4 will be put up while a 14-MW Lot 5 (load-following and peaking) will be constructed in Pinamalayan.

Bansud will be the location of a 10-MW plant (load-following) and eight MW in Roxas.

According to SBPA committee, the corresponding Power Supply Agreement (PSA) for each lot shall take effect for a period of 180 months, unless earlier terminated in accordance with the provisions of Power Supply Agreement (PSA) and or by the Energy Regulatory Commission (ERC).