I’m not involved in any direct way with any client regarding the proposed 120 MW Conal plant in Sarangani. But we have an obligation to our practice to try and keep up with what’s happening. So I grabbed the ERC Filing for approval of the Electric Sales Agreement (ESA) with SOCOTECO II and created a quick model of the pricing.
This is not guaranteed to be correct. The purpose here is to investigate and try to understand the pricing mechanisms and price levels implicit in the market offer. I’ve taken a few minor shortcuts. You’re welcome to download the model here and take a look, if you care to dig into it yourself. Comments and observations of errors are welcome, of course.
Some items have to be forecast, like future coal prices and inflation, among others. I’ve put in a scenario for those. Some contractually-specified parameters are not disclosed in the ERC filing. I’ve made seat-of-the pants estimates of those.