4 firms eyeing EPC pact for 1,200-MW coal-powered plant

Four foreign groups are in the queue for the engineering, procurement, and construction (EPC) contract of the 1,200-megawatt Atimonan coal-fired power project being advanced into implementation by the power generation subsidiary of Manila Electric Company.

According to Meralco President Oscar S. Reyes, the award of the project’s turnkey contract is targeted in the latter part of 2015 or early next year.

“We have four very promising choices for the EPC contractor of Atimonan,” he said, without hinting if Meralco PowerGen (MGen) will tap the same Japanese-Korean duo that had been engaged as EPC contractor for the San Buenaventura coal-fired power project.

The Atimonan project will comprise of two generating units with 600MW capacity each. This is a venture that opted for technology shift from initially gas to coal-fired development.

The project is placed under corporate vehicle Atimonan One Energy Corporation (AiE) and it will be the first fully owned development of Meralco PowerGen.

The company further indicated that “various other development activities continue with the final preparations for the start of the pre-works on site.” It was emphasized that the land conversion of the power plant site was already secured May this year; and acquisition processes had already been completed.

MGen added they are now pursuing talks on right-of-way acquisition for the setting up of a transmission line and related facilities to underpin the eventual wheeling of the plant’s generated capacity.

The Atimonan project’s power supply agreement (PSA) on its electricity output had also been filed last April with the Energy Regulatory Commission.

“A1E is awaiting review and approval of the PSA by the ERC for it to issue notice-to-proceed for the EPC and achieve financial close for the project,” Meralco has noted.