The winning Independent Power Producer Administrator (IPPA) for the contracted capacity of the Bakun-Benguet hydro plants package has been latching on to the interest of Luzon electric cooperatives as potential buyers or off-takers.

In an interview, Vivant Corporation chief operating officer Arlo A.G. Sarmiento indicated that requirements are already being finalized for the IPPA turnover of the plants’ contracted capacity, expectedly next month.

Vivant Corporation is the other half of Amlan Power Holdings Corporation (APHC), which was declared by the Power Sector Assets and Liabilities Management (PSALM) as the highest bidder in the IPPA for the 70-MW Bakun and 30-MW Benguet plants.

Vivant’s partner is Sta. Clara Power Corporation.

“We are eyeing to sell part of the capacity to Luzon coops…it (capacity) will be for peaking,” Sarmiento said, adding that other strategies are also designed in managing the hydro plants’ portfolio.

He bared that registration processes are also being undertaken to position APHC as trading participant at the Wholesale Electricity Spot Market (WESM); while plans are being sorted out for its license application as retail electricity supplier.

“We will have four traders at the WESM,” the Vivant executive stressed, expressing hope that their strategy in selling the Benguet and Bakun plants’ capacities will bring in favorable revenue stream for the company.

Asked why APHC submitted a relatively higher bid than competitors in the Bakun-Benguet IPPA auction, Sarmiento’s retort was: “we are confident with our bid.”

With the anticipated foray of the Power Supply Option Program (or the variance of interim open access), it is expected that IPPAs will finally have a taste of how competitive play will shape in the industry. The draft rules allow them to participate in the propounded IOA program.