City to prepare TOR for Asin mini hydro plants bidding
The city government will prepare the Terms of Reference (TOR) for the proposed rehabilitation and upgrading of the Asin minihydro power plants for it to be bid out to interested companies.
Mayor Benjamin B. Magalong requested the city’s finance officers to submit the previous TOR for the project so he could seek advice from experts to fastrack the bidding process.
Magalong has earlier approved the council resolution that rescinded the contract between the city and Kaltimex Energy Philippines for the rehabilitation and development of the minihydro power plants.
The city government rescinded the contract because of Kaltimex’s failure to do the required works to start the power plants’ operations.
In 2006, the city took over the operation of the power plants after the 25-year contract between the local government and the Aboitiz-owned Hydroelectric Development Corporation expired.
In 2012, the Energy Regulatory Commission issued a cease and desist order against the plants’ operations after the city failed to secure the certificate of compliance from the agency.
In 2014, Kaltimex won in the bidding for the rehabilitation and upgrading of the plants but it failed to take over and develop the power plants.
Magalong said he will seek the advice from experts in the power industry on how to enhance the previous TOR.
Baguio City is the only local government in the country that owns renewable energy plants. – PIO release