THE Indigenous People of La Trinidad Organization (LTIPO) has signed a partnership with Hedcor Inc., the renewable energy subsidiary of Aboitiz Power Corp. (AboitizPower), for the development of the 19-megawatt (MW) Bineng combined hydropower project, Hedcor said on Wednesday.
Last January 25, LTIPO formally approved the project with the signing of a memorandum of agreement (MOA). The MOA provides for benefits to the IP organization for allowing Hedcor to operate in their locality.
“We are happy that the IPs of La Trinidad see the benefit of our project. Hedcor will continue to partner with the communities to make a better community,” Hedcor Senior Vice President Chris Faelnar said on Wednesday.
LTIPO will get one centavo per kilowatt royalty share from the generation of the hydropower plant. With the projected energy output, about P600,000 will be remitted to LTIPO annually out of the generation of the hydropower plant and about P800,000 will go to their development fund.
The long awaited IP multi-purpose building will also be erected by virtue of the agreement, along with a view deck where one can view the project and nearby scenic spots, which is expected to spur tourism in the area.
IP Municipal Representative Charles Abela is thankful for the milestone the project has become. “The provisions of our MOA will surely benefit the IP community,” he said.
The proposed Bineng project has a total capacity of 19 MW. It will harness the Balili River, which flows northward of Baguio City to La Trinidad. The project is expected to be operational by 2018.
“Hedcor never promised us anything back in the days, but they did all the things we asked [for], even beyond what the law requires,” LTIPO President Pendon Thompson said.
Hedcor is currently one of the leaders in run-of-river developments in the Philippines. It manages and operates 22 hydropower plants and supplies the country with 185 MW of clean and renewable energy.
AboitizPower is the holding company for the Aboitiz Group’s investments in power generation, distribution, and retail electricity services. The company also owns distribution utilities that operate in high-growth areas in Luzon, Visayas, and Mindanao, including the second and third largest private utilities in the country.