June 26 takeover by Aboitiz of Benguet power plants bucked

BY DEXTER A SEE

LA TRINIDAD, Benguet — Provincial and municipal officials here assailed a supposed plan of SN Aboitiz Power Corp. to take over the Ambuclao-Binga dam complex on June 26, this year, saying the company should first address issues over unpaid land claims.

The company, which previously won a bidding for the contract to operate the two power plants, said it is not trying to delay the takeover of the power facilities, adding there are some sectors in the province spreading alleged misinformation about supposed delay in the release of funds for the project.

Company executives said the firm might not be able to take over the operation of the power plants due to issues with which it has nothing to do.

They said the firm cannot entertain the land claims of Ibaloi families displaced by the construction of the facilities in the 1950s because these are the concerns of the government-owned National Power Corp.

Earlier, some municipal officials admitted having sent an e-mail message to the International Finance Corp. which Aboitiz has applied for a $ 320-million loan.

The message informed the financing company of the validity of the issues raised by the land claimants.

They said they have no intention to delay the takeover, and are invoking a municipal council resolution that identified valid concerns which should be addressed by both the government and Aboitiz.

The company hopes to duplicate what it did for Magat dam. Aboitiz reportedly poured P12.5 million in community development in 21 barangays in Ifugao and Isabela and paid P36.4 million in national wealth tax in one year.

While the company has yet to take over the Ambuclao and Binga dams, it has already commenced community, social responsibility programs and projects in Barangay Tinongdan and nearby communities in Itogon and Bokod. The firm is preparing community projects.

However, Aboitiz felt that the programs will eventually be delayed if financing is not secured on time because of misinformation being circulated by some local officials.

The Itogon municipal council passed a resolution requesting suspension of the takeover of the Binga dam plant by Aboitiz from the Napocor until social and environmental issues raised are being addressed.

The council said the issues and concerns include just compensation, return of private lands, employment of dam employees, human resettlement and education and provision of sustainable livelihood.

It said it is not opposing the operation of Aboitiz, and it was just echoing a legislative assertion for sustainable development in the affected areas.