Singapore Firm in Transco Due Diligence

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Byline: MYRNA M. VELASCO

Singapore Power Ltd., the elusive interested party in the National Transmission Corporations (Transco) 25-year concession contract, has finally indicated to bring its due diligence to a more advanced level, this time into the financial and regulatory terms of the privatization process.

Energy secretary Vincent S. Perez noted that the company has shown more interest in Transco; after an evaluation that Transco has a relatively superior technical feature;" if compared to another asset that Singapore Power has been eyeing in North America.

"We are hoping that their findings on the technical performance of Transco will lead to next, such as financial due diligence," the energy chief noted.

Singapore Power concluded last December its technical due diligence on Transco; and though it has given word that it would come back for regulatory and financial due diligence, the government has yet to see this executed.

Because of the successive two failed biddings for the firms concession deal, the government, through the Office of the Government Corporate Counsel, has already given go-signal to the Power Sector Assets and Liabilities Management Corporation (PSALM) to enter into a negotiated arrangement with interested parties.

In tandem with prospects to pursue next level of due diligence on the transmission company, it was noted that Singapore Power has also been simultaneously scouting for local partners. …