Transco exec projects P200M-P300M
from sale to assets in 2004
Business Week, January 8, 2004

The National Transmission Corp. (Transco) expects to generate between P200 million and P300 million from the sale of its subtransmission assets this year, President Alan T. Ortiz yesterday said.

This, as Malacaiiang directed the firm to hasten the sale of the subtransmission assets.

"We have been mandated to accelerate the sale of the subtransmission assets. Hopefully, we can raise up to P300 million this year," he said.

Following the sale of the first of the assets to Aboitiz-owned San Fernando Light and Power Corp., Transco is hoping to sell more of the assets to five distribution utilities.

These include the Manila Electric Co., Cabanatuan Electric Corp., Tarlac Electric Inc., Angeles Electric Co., and Pampanga Electric Co.

Mr. Ortiz said based on the guidelines from the Energy Regulatory Commission, Transco has 27 months to sell all its subtransmission assets.

Transco, a spin-off firm of the National Power Corp., was created by the Electric Power Industry Reform Act to take over the transmission functions of National Power Corp. and sell the subtransmission assets to qualified distribution utilities that are con­nected to the assets.

Transco earlier estimated that it would earn be­tween P6 billion and P7 billion from the sale of the subtransmission assets. The proceeds of the sale will be used to fund part of Napocor's debts.

Yesterday, Transco formalized the sale of 12 millionworth of subtransmission assets to the Aboitiz firm. - J. G. U. Rubrico

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