DMCI finally awarded contract to build, operate power plant in Oriental Mindoro

POSTED: Thursday, October 17th, 2013

‘Competitive selection process fully observed’

 

 CALAPAN CITY – After months of delay and hearing public demand for a “full transparency” of its power contract negotiations, the Oriental Mindoro Electric Cooperative, Inc. (ORMECO) has finally awarded to Manila-based DMCI Power Corporation the contract to construct, operate and maintain a 15-megawatt bunker-fired diesel power plant in this city.

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In a simple ceremony held at the ORMECO office in Brgy. Sta. Isabel here Monday (October 14), both officials of the said lone electric cooperative in Oriental Mindoro and DMCI signed the Notice of Award and other documents that will start the construction of the power plant at the soonest possible time, that will partially supply the power requirements of the province for a period of 20 years.

 

During the said ceremony for conferment of the notice of award or official contract, ORMECO President Audel A. Arago and ORMECO General Manager Romeo Cuasay both expressed optimism that with the bestowing of the power contract to DMCI and immediately upon operation of the power, the situation of electric supply in Oriental Mindoro will soon goes brighter.

Accordingly, the construction and the subsequent operation of the said power plant will help in stabilizing power supply for Oriental Mindoro.  There is a need for an additional supply of power to the said province because its energy and capacity demand is continuously rising.  And based on ORMECO’s estimate, the compound annual growth rate, or power demand, for the last five years was at 6.5% and the province’s peak demand is said to be close to breaching dependable capacity.

DMCI representatives during the ceremony, led by its president Nestor Dadivas, stated that the construction and operation of their project raise hopes of solving the almost daily power outages in this island province.

The awarding of the power contract was delayed repeatedly after DMCI’s three competing bidders questioned and scrutinized the former’s financial bid and was made public during the ORMECO-implemented competitive selection process (CSP).  The said CSP was managed by the cooperative’s Special Bids and Awards Committee (SBAC).

“We would like to assure that the bidding (and the eventual award of the project to DMCI) was fair and square,” ORMECO President Arago stated.

Aside from officials and representatives of ORMECO and DMCI, also present during the awarding ceremony was former Oriental Mindoro First District Congressman Rodolfo G. Valencia, who played a key role during the long period of selection process being the chairman of Oriental Mindoro Investment (ORMINVEST) office; members of the media and other concerned parties. (By JUANCHO R. MAHUSAY)

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