SAN Miguel Corp. (SMC) on Tuesday offered to pay in advance P22.68 billion in capacity charges amid the ongoing court battle over the administration of the 1,200-megawatt (MW) Ilijan combined-cycle power plant. Capacity charges represent capital payment by SMC to the state-run corporation as administrator of the Ilijan power plant, spread over the term of its contract. A brand-new power plant with the same capacity as Ilijan would cost about P40 billion today. As of end-January, SPPC had paid Psalm P240.7 billion in generation charges and P73.9 billion in capacity fees. The company originally won the bidding for the administration of the Ilijan plant for $870 million ($42.5 billion).

Source: Manila Times March 10, 2020 17:48 UTC