Meralco Files Application for Approval of PSA with Therma Luzon, AP Renewables

Pasig—(PHStocks)—The Manila Electric Company (Meralco, PSE: MER) has executed Power Supply Agreements (PSA) with Therma Luzon Inc. (TLI) and AP Renewables Inc. (APRI) to cover the volume needed by Meralco during the six-month transition period before the start of the commercial operations of open access and retail competition.

TLI and APRI are both wholly owned subsidiaries of Aboitiz Power Corporation (PSE: AP), a publicity-listed holding company that has accumulated interest in both hydroelectric power generation facilities and thermal plants. TLI is the IPP administrator of the Paglibao power plant in Paglibao, Quezon. On the other hand, APRI is the owner and operator of the Tiwi-Makban geometral power in Tiwi, Albay and Makiling/Banahaw, Laguna.

Under the PSAs with TLI and APRI, Meralco will procure power from TLI and APRI from the expiration of TSC until 25 June 2013 conditioned upon ERC approval.