It would take about two to three weeks before the diesel generators contracted under the 2nd Emergency Power Supply Agreement (EPSA 2) would be operational.
Sources with knowledge of the negotiations undertaken by the First Catanduanes Electric Cooperative, Inc. (FICELCO) told the Tribune that following the approval by the Board of Directors of the Notice of Award to isla Dagyab Energy Corporation for the eight (8) megawatt of “guaranteed dependable capacity and N-1” under EPSA 2, the National Electrification Administration (NEA) immediately acted to speed up the process.
NEA Administrator Antono Mariano Almeda reportedly asked Vivant Corporation, the parent company of Isla Dagyab, to mobilize the gensets as soon as possible so that the power deficiency being experienced in the Catanduanes grid could be addressed.
The power plant to be installed inside the FICELCO compound in Marinawa, Bato, will consist of nine (9) 1.25mVA modular diesel gensets, which will supply a guaranteed energy of 5.4 megawatts over a one-year period or until the cooperative has selected a new power supplier for 24 mW of energy.
Isla Dagyab has already contracted a barge to transport the gensets to the island province either last Sunday or Monday, with the gensets as well as a 200,000-liter fuel storage tank, arriving within a week. Di
Once the gensets arrive, it would take three to four days to install, plus another two to three days of testing prior to commercial operation.
As to the balance of the required 500,000-liter storage capacity, the company will be storing fuel contracted with Shell Philippines at the depot of Powerzone Petroleum Products Corporation, whch will likewise handle delivery of the fuel to the Marinawa power plant.
The EPSA 2 contract was reportedly signed by BOD Vice President Raul Angeles, pursuant to his designation as OIC president and presiding officer by Dir. Romeo Santos, who is abroad to have his wife treated for an ailment.
The new contract will be terminated upon the commencement of the long-term Power Supply Agreement procured through a Competitive Selection Process (CSP), the Terms of Reference of which is still being reviewed by NEA.
In a related development, NEA has preventively suspended the Board of Directors of the electric cooperative for a period of six months pending investigation of their actions in initially awarding the EPSA 2 contract to a previously disqualified company.
According to informed sources, four NEA officials arrived last Monday, June 1, 2026, to serve the order signed by Administrator Almeda to six directors – Raul V. Angeles, Myrna SJ. Carilimdiliman, Emma T. Bueno, Alicia F. Arcilla, Arsenia G. Bernacer and Salvacion T. Lee.
It may be recalled that last May 22, 2026, Almeda directed the board members to show cause within 48 hours from receipt of the order why no disciplinary action should be imposed upon them for favoring S.C. Megaworld Construction and Development Corporation (SCMCDC) owned by former Congressman Hector Sanchez.
SCMCDC had been disqualified by the FICELCO Evaluation Committee for failure to comply with material requirements under the EPSA 2 Terms of Reference, including the lack of the required 500,000 liters of fuel storage capacity and the absence of at least 10 years of experience in operating power plants in off-grid areas.
The NEA noted the findings contained in the committee’s position paper that despite this, the BOD allowed SCMCDC to submit a revised proposal reflecting a higher tariff than indicated in its original submission which would ultimately impose an additional burden on consumers.
“Such action by the Board clearly constituted a deviation from the applicable policies and guidelines governing power supply procurement,” Administrator Almeda stated.
In a special meeting held May 19, 2026, the FICELCO board to evaluate the proposal of the Sanchez company, despite voting 4-3 several days earlier to accept the competing proposal of Isla Dagyab.
According to reports, Dir. Angeles had prevailed upon the five women directors to reconsider SCMCDC’s proposal despite its disqualification by the evaluation committee.
Three days earlier, the Board allowed SCMCDC to submit a revised proposal and instructed the Evaluation Committee to re-evaluate the revised proposals notwithstanding their earlier findings.
Subsequently, SCMCDC submitted a draft Power Supply Agreement (PSA) in lieu of a revised proposal.
The committee, however, stood its ground and submitted to the Board a re-evaluation that concluded that SCMCDC remained non-compliant with the material requirements of the TOR.
Upon receipt of the evaluation committee’s findings, NEA Deputy Administrator for Electric Cooperative Management Services Omar M, Mayo disapproved FICELCO Board Resolution No. 87, Series of 2026, awarding EPSA 2 to SCMCDC and upheld the recommendation of the Evaluation Committee to rescind the award to SCMCDC, affirm the findings of the committee, and recognize the compliant bidder – Isla Dagyab Energy Corporation – as the qualified proponent, among others.
In response, the FICELCO Board reportedly told NEA that it acted in good faith in its effort to ensure uninterrupted and stable delivery of electricity to member-consumer-owners.
It acknowledged the findings of the agency on the qualifications and deficiencies of SCMCDC and the acceptance of its revised proposal, and vowed to take necessary corrective actions.