NPC AND BASELCO TO NEGOTIATE WITH
COASTAL POWER CORPORATION
FOR THE PRIVATIZATION OF SPUG'S OPERATION IN BASILAN
(June 27, 2008)
Following two failed bidding for the selection of a New Power Provider (NPP) in the island of Basilan, NPC and Basilan Electric Cooperative (BASELCO) have started negotiations with the lone interested bidder, Coastal Power Corporation.
NPC and BASELCO entered into an agreement to jointly select an NPP for Basilan through a competitive selection process in accordance with the Department of Energy's Department Circular No. 2004-01-001. The bidding was supervised and facilitated by the International Finance Corporation, the transaction advisor contracted by the Department of Energy, the Power Sector Assets and Liabilities Management Corporation and NPC for the selection of NPPs in selected SPUG areas.
NPPs are private or third party entities that are selected through competitive selection to undertake missionary electrification pursuant to the Department of Energy's Department Circular No. 2004-01-001 seeking to optimize the countryside benefits missionary activities through the full or gradual privatization of viable islands that are currently served by SPUG.
