Zambales gov’t warns it may block Masinloc sale
The long-frustrated sale of the 600-megawatt Masinloc coal-fired power plant in Iba, Zambales, is facing yet another major hurdle as the provincial government of Zambales said the auction of the power plant scheduled this month would have to get its permission.
Newly elected Zambales Gov. Amor Deloso said he will not hesitate to go the court to file an injunction case should the state firm National Power Corp. (Napocor) refuse to recognize the authority of the provincial government to issue its permit to operate the plant.
The Masinloc plant is among the big-ticket power assets lined up for privatization this year in an effort to hit a P63-billion budget deficit target by year’s end.
The auction of the plant, however, will be undertaken by state power holding firm Power Sector Assets and Liabilities Management Corp. (Psalm).
Deloso expressed strong opposition to the privatization of Masinloc to be conducted through bidding slated this month.
Deloso said he wrote Napocor president Cyril del Callar to cite a provision in the local government code under Section 16 and Rule 15 of the Implementing Rules and Regulations of Republic Act 7160 which states that powers, duties and functions of the local chief executives “under this law ensures that any natural resources used by anyone has to have the permission of the local government where this resources is located.”
Deloso said if the privatization pushes through, the Masinloc Coal-Fired Power Plant (MCPP) bid winner should first have to take cognizance of the fact that its immediate vicinity has been declared a “fish sanctuary” aside from using the beach area and the seawaters of Masinloc which are all under the protection of the Department of Environment and Natural Resources (DENR).
“It is therefore important that the rights of the local government units will not be curbed and reined in,” Deloso added.
Psalm president and chief executive Jose Ibazeta said some 20 groups indicated interest in this month’s auction for the Masinloc plant.
Earlier attempts to privatize Masinloc failed after the winning bidder, th YNN-Ranhil Berhad venture, demanded the attachment of power supply contracts on the plant.
Deloso clarified that the provincial government has been supportive of the national government’s effort toward the rationalization of the power industry in general and the privatization of power plants in particular.
“We are seriously evaluating the ramifications and implications of such efforts on the provincial coffers and in terms of employment that will be affected by the bidder for the MCPP and, eventually wins the project,” Deloso said.
“The privatization of the Masinloc power plant might jeopardize the interest of the province unless we will be given the assurance through a legal and valid contract,” Deloso added.
Deloso recalled that in 1997, prior to the construction of the Masinloc plant, Napocor promised to reduce the power consumption rate of the entire province as low as 50 percent as part of the “verbal concessions” for the approval of the project but the deal did not materialize.
“We felt cheated before and we do not want this to happen again. All agreements should be in black and white,” Deloso said.
Deloso also urged the Napocor that, “prior to allowing anyone to do a due diligence on the power plant, permission must be obtained from the provincial government of Zambales.” tribune.net.ph
Newly elected Zambales Gov. Amor Deloso said he will not hesitate to go the court to file an injunction case should the state firm National Power Corp. (Napocor) refuse to recognize the authority of the provincial government to issue its permit to operate the plant.
The Masinloc plant is among the big-ticket power assets lined up for privatization this year in an effort to hit a P63-billion budget deficit target by year’s end.
The auction of the plant, however, will be undertaken by state power holding firm Power Sector Assets and Liabilities Management Corp. (Psalm).
Deloso expressed strong opposition to the privatization of Masinloc to be conducted through bidding slated this month.
Deloso said he wrote Napocor president Cyril del Callar to cite a provision in the local government code under Section 16 and Rule 15 of the Implementing Rules and Regulations of Republic Act 7160 which states that powers, duties and functions of the local chief executives “under this law ensures that any natural resources used by anyone has to have the permission of the local government where this resources is located.”
Deloso said if the privatization pushes through, the Masinloc Coal-Fired Power Plant (MCPP) bid winner should first have to take cognizance of the fact that its immediate vicinity has been declared a “fish sanctuary” aside from using the beach area and the seawaters of Masinloc which are all under the protection of the Department of Environment and Natural Resources (DENR).
“It is therefore important that the rights of the local government units will not be curbed and reined in,” Deloso added.
Psalm president and chief executive Jose Ibazeta said some 20 groups indicated interest in this month’s auction for the Masinloc plant.
Earlier attempts to privatize Masinloc failed after the winning bidder, th YNN-Ranhil Berhad venture, demanded the attachment of power supply contracts on the plant.
Deloso clarified that the provincial government has been supportive of the national government’s effort toward the rationalization of the power industry in general and the privatization of power plants in particular.
“We are seriously evaluating the ramifications and implications of such efforts on the provincial coffers and in terms of employment that will be affected by the bidder for the MCPP and, eventually wins the project,” Deloso said.
“The privatization of the Masinloc power plant might jeopardize the interest of the province unless we will be given the assurance through a legal and valid contract,” Deloso added.
Deloso recalled that in 1997, prior to the construction of the Masinloc plant, Napocor promised to reduce the power consumption rate of the entire province as low as 50 percent as part of the “verbal concessions” for the approval of the project but the deal did not materialize.
“We felt cheated before and we do not want this to happen again. All agreements should be in black and white,” Deloso said.
Deloso also urged the Napocor that, “prior to allowing anyone to do a due diligence on the power plant, permission must be obtained from the provincial government of Zambales.” tribune.net.ph
Labels: Bataan nuclear power plant, deloso, masinloc, psalm, zambales
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