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Tuesday, Jul 01, 2025
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Meralco Requests Approval for New Power Supply Bidding
Manila Electric Co. seeks government certification for a 450-MW mid-merit supply auction as part of its broader procurement strategy.
Manila Electric Company (Meralco) has formally requested the Department of Energy (DOE) to issue a certificate of conformity, which is a crucial regulatory prerequisite for its planned power supply auction aimed at procuring 450 megawatts (MW) of mid-merit electricity supply.
Energy Assistant Secretary Mario Marasigan confirmed the request in a recent interview, emphasizing the importance of this certification in proceeding with the competitive selection process (CSP).
The proposed auction is part of Meralco's comprehensive Power Supply Procurement Plan for 2025, which outlines prospective energy supply agreements.
Specifically, the CSP includes two distinct power supply contracts—one for 300 MW and another for 150 MW—set to commence delivery in 2028 and 2029, respectively.
These agreements are anticipated to span 15 years, with expiration dates projected for 2043 and 2044.
In addition to the 450-MW mid-merit supply auction, Meralco has filed two other applications pending DOE approval.
These include a 600-MW baseload supply agreement and a 200-MW renewable energy baseload supply agreement.
Mid-merit capacities are designed to serve as a bridge between peak and base generation sources, effectively balancing electricity supply during varying demand levels.
Conversely, baseload supply constitutes the continuous minimum electricity demand necessary to maintain grid stability.
Marasigan indicated that the DOE is in the process of awaiting responses from both the Philippine Competition Commission (PCC) and the Energy Regulatory Commission (ERC) to ensure cohesive alignment among these regulatory bodies.
This alignment is crucial for advancing Meralco's procurement strategies in Philippine energy markets.
Energy Assistant Secretary Mario Marasigan confirmed the request in a recent interview, emphasizing the importance of this certification in proceeding with the competitive selection process (CSP).
The proposed auction is part of Meralco's comprehensive Power Supply Procurement Plan for 2025, which outlines prospective energy supply agreements.
Specifically, the CSP includes two distinct power supply contracts—one for 300 MW and another for 150 MW—set to commence delivery in 2028 and 2029, respectively.
These agreements are anticipated to span 15 years, with expiration dates projected for 2043 and 2044.
In addition to the 450-MW mid-merit supply auction, Meralco has filed two other applications pending DOE approval.
These include a 600-MW baseload supply agreement and a 200-MW renewable energy baseload supply agreement.
Mid-merit capacities are designed to serve as a bridge between peak and base generation sources, effectively balancing electricity supply during varying demand levels.
Conversely, baseload supply constitutes the continuous minimum electricity demand necessary to maintain grid stability.
Marasigan indicated that the DOE is in the process of awaiting responses from both the Philippine Competition Commission (PCC) and the Energy Regulatory Commission (ERC) to ensure cohesive alignment among these regulatory bodies.
This alignment is crucial for advancing Meralco's procurement strategies in Philippine energy markets.
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