Phl exempts pioneer nuclear plant from auction rules

The government has waived the auction requirement for the Philippines’ first commercially developed nuclear power plant (NPP), allowing it to directly forge supply deals with distribution utilities (DUs).

- By BRIX LELIS

In a landmark move, Energy Secretary Sharon Garin signed a department circular establishing a comprehensive framework for the integration of nuclear energy into the country’s power generation mix.

Under the circular, DUs are required to ensure a ready market for the available capacity of the pioneer nuclear power plant (NPP), which will be exempt from the conduct of a competitive selection process (CSP).

The CSP is a government-mandated bidding mechanism that requires DUs and electric cooperatives (ECs) to procure their power supply from generation companies offering the most cost-effective rates.