DOE wants better TOR for microgrid bidding system

MANILA, Philippines — The Department of Energy (DOE) plans to improve the terms of reference (TOR) for the next round of bidding for the development of microgrid systems.

DOE Assistant Secretary Mario Marasigan said another round of competitive selection process (CSP) for the microgrid systems provider is targeted this year after the agency concluded late last year the first-ever bidding.

“We still have to complete the first CSP process for the microgrid systems provider. We are in the process of evaluating the offers we received,” Marasigan said.

“Upon completion of those process, then we will start the processing of the second round. We have to consider our experience during the conduct of the first CSP of the microgrid system to effect on the succeeding because we have to evaluate ourselves also,” he said.

The first-ever bidding for the development of microgrid systems in the country in December last year has attracted only one bidder after nine firms previously expressed interest.

“We need to revisit practically the terms of reference because that is what the proponents follow in coming up with their proposals. So if what is lacking is time, data, and information, then we have to address those. It may call for some amendments in the terms of reference we used in the first CSP,” he said.

Out of nine pre-qualified bidders, the DOE received six complete bid proposals from the Maharlika Consortium, covering eight lots that include unserved areas in the provinces of Cebu, Quezon and Palawan during the first CSP.

The Maharlika Consortium is composed of Clean Power Holdings Inc., Singapore-based CleanGrid Partners and Singapore-based renewable energy company WEnergy Global.

Bid evaluation is expected to be completed on Feb. 20.

Should the proposal of Maharlika Consortium be found in accordance with the requirements of the terms of reference of the Micro Grid Systems Act and its implementing rules and regulations, a post-qualification process will be conducted and the DOE will then issue the notice of award, which is targeted by March.

The CSP for microgrid systems provider is for the electrification of the DOE-declared unserved and underserved areas in the country.

For the first CSP, the unserved and underserved areas were clustered into 49 lots.

The winning MGSPs will be in charge of the construction, installation, maintenance, and operations of microgrid systems to provide 24/7 electricity services for all existing and projected households in the selected remote areas in the country.

Their services will also include associated services, such as customer billing and collections.