MANILA Electric Co. (Meralco) secured the lowest offer for its 400-megawatt (MW) mid-merit supply requirement from GNPower Dinginin Ltd. Co. (GNPD).

GNPD of the Aboitiz Group operates a 1,336 MW coal-fired power plant in Mariveles, Bataan.

Meralco said in a statement the offer was secured during the bid opening for the competitive selection process (CSP) yesterday wherein three generation companies submitted qualification documents, technical proposal and bid price. 

All offers were lower than the P8.0585 per kilowatt-hour (kWh) reserve price for levelized cost of electricity (LCOE) set for the bidding.

GNPD’s offer of P7.6816 per kWh total LCOE for the entire 400 MW requirement was declared as the best bid.

It bested Sual Power Inc.’s offer of P7.7416 per kWh for 300 MW of supply and Masinloc Power Co. Ltd.’s offer of P7.8567 per kWh for 200 MW of electricity.

Meralco said all submissions passed the criteria contained in bidding documents and pre-qualification evaluation.

The resulting 15-year power supply agreement (PSA) for Meralco’s 400 MW mid-merit requirement will be subject to regulatory proceedings and approval of the Energy Regulatory Commission prior to the planned effectivity on August 26, 2025, the company added.

The company’s bids and awards committee for PSAs (BAC-PSA) is also set to conduct a post-qualification evaluation prior to issuance of notice of award and execution of the contract with the winning bidder.

“Just like in the past, this CSP has fulfilled the objective of securing the needed power supply for customers at the least cost possible through an open and transparent process,” said Lawrence Fernandez, Meralco BAC-PSA chairman, in a statement.

Meralco also said CSP observers, which included consumer groups, witnessed the submission of bids, with the actual proceedings streamed live online.