AN electric cooperative in Bukidnon and the Pulangui Hydro Power Corporation (PHPC) entered into a Memorandum of Understanding (MOU) on March 8 to kick off the construction of the 250-megawatt (MW) Pulangui 5 hydroelectric power project in the province.
First Bukidnon Electric Cooperative, Inc. (Fibeco) and PHPC signed the MOU to launch construction of the $800-million Pulangui 5 project, which is expected to be completed in 2020 or 2021.
National Electrification Administration (NEA) Chief Edgardo Masongsong witnessed the signing ceremony held at Solaire Resorts and Casino in Pasay City.
During the ceremony, Fibeco was represented by its board and management led by its president, Director Romeo Pacanan, and general manager, Rey Balaba. PHPC was led by its chairman, Michael Chen, together with consultant Dr. Regin Mordeno and Mr Sean Lin of Energy China.
“The construction of Pulangui 5 will be the beginning of the realization of our goal to jumpstart economic activity in Mindanao and ensure sustainable power supply for the country,” Masongsong said in a statement on Friday.
According to the NEA chief, the agency and its partner electric cooperatives (ECs) are actively involved in securing investments in power plant projects “not only to address our growing energy requirements but also to achieve the social and economic change envisioned by President Duterte for the country.”
“Fibeco will be part owner of the power plant, with shares of stock under negotiation,” Masongsong said.
“Revenues from the project will contribute to the reduction of power rates for electricity consumers in the franchise of the EC,” he added.
NEA did not specify how the project will be financed, but in October last year, Trade Secretary Ramon Lopez had identified the Pulangui-5 Hydro Project as among the $15 billion worth of investment projects that were signed between the Philippines and China during President Duterte’s state visit to China. Reports at the time said the project will be undertaken by Greenergy Co. and Power China Guizhou Engineering Corp.