Power Sector Assets and Liabilities Management Corp. (PSALM) said it was not blaming the Energy Regulatory Commission (ERC) for the interest cost it incurred in securing funding to pay maturing debts.
“The computation of PSALM simply presents the cost of contracting loans to supplement the needed funds to pay maturing debts while awaiting approvals of its UC-SCC and SD applications filed with the ERC,” PSALM President and Chief Executive Officer Irene Joy Besido-Garcia, said in a statement on Thursday night.
PSALM also clarified that it is not accurate to state that it has “ballooning debts.”
It said the total liabilities that PSALM assumed from the National Power Corp. (Napocor) reached P1.24 trillion in 2003. It said as of June 30, 2018, the remaining principal debt of PSALM is down to P246.73 billion, while the remaining obligations under its independent power producer (IPP) contracts amount to P202.70 billion. — Victor V. Saulon