NEWS | September 10, 2006
2 MIN READBAGUIO CITY (Sept. 7) — Acting Vice-mayor Leandro Yangot clarified that the city has not inked any contract with the Hydro-electric Development Corporation (Hedcor) on the management of the Asin Mini-hydro power plants, as he assured the public that a public bidding will be conducted soon.
Yangot and acting Mayor Reinaldo Bautista jointly issued the statement during the weekly mayor’s forum at the city mayor’s office yesterday following media reports, not in Nordis, that there has been a secret contract with a power corporation.
The contract for the management of the Asin mini-hydros between the city and the Baguio Water District (BWD) expired last August 31.
Bautista said that the contract expiration came at the heels of Mayor Braulio Yaranon’s suspension and his ascendancy to the mayoralty seat in an acting capacity.
“It came super fast, but what is in effect now is a simple status quo,” Bautista told the media reiterating that Hedcor will operate the mini-hydro plants in the absence of a formal bidding.
Bautista assured that the mayor has not entered into a contract with any company.
Yangot admitted that the city has no technical capacity to operate the power plants. He said all what the Asin Hydro Task Force has accomplished is an inventory of assets, which has been transmitted to Yaranon on August 18, before the suspension order was served.
Yangot said there is a need for bidding but there was no more time to do so. According to him, the city would stand to lose precious equipment and machinery to thieves and burglars if no one sees to the safety of the plants.
Bautista reportedly notified Hedcor to continue managing the operations of the mini-hydros. Yangot clarified that Yaranon has duly notified BWD in January on the city’s intention to end the contract, to which the BWD responded in May, saying it is neither interested to get another contract.
In the meantime, the terms and conditions for a new contract will be subject to council deliberation before final invitation to bid is fielded to the public. Yangot estimated that 90 days is needed to finalize the terms.
“Definitely, a public bidding will be conducted,” Yangot said. # Lyn V. Ramo for NORDIS