Private developer taps Chico canal for power

By Peter Balocnit

TABUK CITY, Kalinga- - Another breakthrough in energy development is in the making with ongoing construction of a 1MW power capacity hydroelectric project here.

DPJ Engineers & Consultants (DPJEngrs) is developer of the project that  aims to harness for power generation  water of Bulanao Irrigation Canal through a 22 meter-high drop from the main canal of the Upper Chico River Irrigation System here.

The project has six key components and eight pre‐development activities  are already completed.

Engineer Daniel Peckley Jr. of DPJEngrs  said if all available flow is used for power generation, the capacity shall be 1,000kW and annual energy production can reach around 5.77Million kWh.

To finance the construction, DPJ Engrs obtained a loan from United Coconut Planters Bank under the risk-sharing facility of LGU Guarantee Corp.  The total project cost is around PP109.55 million, funded through 63% equity and 37% debt.

DPJ Engrs signed with the Kalinga-Apayao Electric Cooperative an energy supply contract providing for a 15-year energy supply agreement.

The energy that will be generated by the Bulanao Mini‐hydropower Plant goes directly to KAELCO’s distribution system and is cheaper by around PhP1.50/kWh, Peckley said.

He said KAELCO and its customers shall not have the burden of paying fees, losses and VAT associated with transmission, thus the savings; and the capacity of the mini‐hydropower plant, which is at 1000kW, is significantly lower than the base load of KAELCO, which is hovering at around 2,500kW.