Aboitiz tells Benguet execs on dams’ rehab: We will follow laws

By DEXTER SEE

LA TRINIDAD, Benguet — SN Aboitiz Power Hydro Inc. has set 200 million dollars or roughly P8 billion for the three-year rehabilitation of the Ambuclao and Binga dams, both located in this vegetable-producing province, to ensure maximum production of 225 megawatts.

Emanuel Rubio, chief executive officer of SNAP Hydro, told provincial officials that their company will strictly follow the procedure for the acquisition of permits in relation to land use and protected areas to ensure uninterrupted operation of the generation facilities in the next three years.

However, the land disputes concerning residents at the dam sites pending before the National Power Corp. will still be the responsibility of the government-owned and -controlled corporation.
Rubio said that during consultations with local officials, the company assured that it will absorb employees coming from Napocor and will hire residents who have the skills or are qualified for the many jobs to be offered.

The Aboitiz executive recognized the need for the firm to get local manpower, especially those involving mechanical and electrical concerns.

Contrary to expectations, Rubio pledged that his company will register in the municipalities of Itogon and Bokod, not in Makati, because it recognizes that it is also obligated to secure business permits from the two municipalities and pay business tax and national wealth tax to the two towns.

On the issue of fish cages -- primary sources of livelihood of the people in Ambuclao, Rubio said the company is expected to adapt the approach it used in the case of Magat Dam in Isabela where fish culture with floating fish cages is allowed but with a required distance from the spillway.

He said that the primary concern of the firm is the safety for the people in the area.
SNAP Hydro has won the bidding for the privatization of the two power generation plants with a $ 325-million offer. It edged out Calaca Power Partners which offered a bid of $ 305 million for the right to operate the two dams.

The company represents a partnership between the Manila-Oslo Renewable Enterprise and SN Power Holdings.

Energy officials said that the privatization of the Ambuclao and Binga power plants is part of the national government’s program that sets a target of 70 percent privatization target by the first half of next year.

Ambuclao, which has a capacity of 100 megawatts, has been non-operational for at least seven years, while Binga has partly operated and has a total power output of 75 megawatts when in full operation.

Earlier, operators of fish cages in the Ambuclao dam have petitioned the provincial government and Aboitiz to allow their operation in the area.

They assured that they will strictly abide by the rules and regulations to be issued by the company.