The search for Solar Photo voltaic (PV) Independent Power Producers for Palau is getting closer according to PPUC Acting CEO and Chairman Greg Decherong yesterday.

“We are down to four bidders and we are now going through contract agreements.  At the end of this month, we will open the technical and financial packages and we will go over those to find the final 2 bidders.  After we narrow it down to two, then we will begin negotiations,” revealed Chairman Decherong.

According to Decherong, every bid is being reviewed by ADB advisors and then passed on to NREL for second opinion.  “We want to ensure the best deal for Palau and that’s the instruction our people are working on.”  Decherong added that the tentative date for final decision on the bid is April of this year.

The tender is for solar photovoltaic independent power producer ( solar power company) to build a solar plant to supply power to Palau’s central power grid, provide energy storage systems, ensure grid stability and meet Palau’s projected energy needs, particularly its energy policy of increased use of renewable energy.

The bidder will build, operate and sell power to PPUC for 20 year period at a fix rate. The selected bidder must be able to begin operation within 12 months of signing the Power Purchase Agreement (PPA) from PPUC.

In 2018, Palau Public Utilities Corporation accepted an offer from Engie Corporation to build and operate a solar photovoltaic plant, capable of producing 35MWp and sell power to PPUC at .20 cents per Kwh for 30 years.  The proposal received so much push back from Senate and some citizens.  PPUC was pushed to bid out project and the tender was issued February of 2019.