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Aboitiz Power and Vivant Corp awarded parts of Leyte contracts

Tongonan, Leyte Geothermal power plant, Philippines
Alexander Richter 10 Feb 2014

Aboitiz Power Corp and Vivant Corp have been awarded contracts to market a portion of the Unified Leyte Geothermal Power Plants' (ULGPP) generating capacity. There are no news yet on the other companies having been awarded the remaining contracts.

Reported this morning from the Philippines, listed firms Aboitiz Power Corp and Vivant Corp have been awarded contracts to market a portion of the Unified Leyte Geothermal Power Plants’ (ULGPP) generating capacity.

Both companies announced this separately to the Philippine Stock exchange. Aboitiz Power and Vivant said they were appointed as Independent Power Producer Administrators (IPPA) by the Power Sector Assets and Liabilities Management Corp (Psalm) for ULGPP’s output.

As IPPAs, the two companies will take control of a portion of the government’s 600-megawatt (MW) contracted capacity with the power complex.

Psalm auctioned off the Unified Leyte power complex IPPAs last year and drew Vivant’s winning offer of P4.6629 per kiloWatt-hour (kWh) as its selling price.

Besides the Aboitiz Power and Vivant, FDC Utilities Inc, Unified Leyte Geothermal Energy Inc (ULGEI), Trans-Asia Oil & Energy Development Corp, Waterfront Mactan Casino Hotel Inc and Good Friends Hydro Resources Corp posted winning offers for a portion of ULGPP’s output.

Aboitiz Power, through subsidiary Aboitiz Energy Solutions Inc, was awarded 40 energy strips equivalent to 40 MW of the ULGPP’s output.

On the other hand, Vivant, through wholly-owned Vivant Energy Corp, was handed 17 energy strips representing 17 MW of contracted capacity.

The other winning bidders or Psalm have yet to announce if they have also been officially awarded similar IPPA contracts.

Psalm apportioned around 200 MWs out of 240 MW energy strips carved out of the ULGPP’s contracted capacity among the winning bidders. The state-administered firm kept the remaining 40 MW energy strips for the government.

The ULGPP IPPA contracts also include the bulk energy contract for the right to the capacity in excess of the 240 MW energy strips.

ULGEI, a wholly-owned subsidiary of Energy Development Corp (EDC), however, rescinded its offer for the contract after the ULGPP sustained damage from Typhoon ‘Yolanda’ last year. EDC is the operator of the ULGPP.”

Source: Interaksyon