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Telesource gets 2 more years to run Tinian power plant
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Posted on Apr 09 2020
The Commonwealth Utilities Corp. has extended for two more years Telesource CNMI Inc.’s contract to run CUC’s power plant on Tinian, according to CUC executive director Gary P. Camacho yesterday.
Camacho said the two-year contract took effect last April 1 and will end on April 1, 2022.
He underscored the importance of giving Telesource the extension as this will give the company time to address some provisions in the previous contract, which had expired last March 31.
He said the company failed to comply with some issues within the facilities as required by the previous contract. The issues include improving the facilities and infrastructure and other enhancement programs.
Camacho said no additional costs for CUC is involved in the extension contract as the terms are the same as the previous contract.
Camacho said the Office of the Attorney General is their legal counsel and is part of the process.
He said it is critical and important for CUC to require Telesource to perform and fund the requirements of the previous contract.
After two years, CUC will issue an invitation for bid for any companies interested to operate the power plant. He said CUC management is in discussion with the CUC board that the invitation for bid for vendors to operate the power plant will be for a 20-year contract.
Telesource’s 20-megawatt diesel power plant generates an average of 1.9 megawatt per day.
Telesource’s $21.6-million-contract to build and operate the power plant started in 1997.
