Napocor to start P1.9-B flood control proj in Mindanao

MANILA, Philippines - National Power Corp. (Napocor) has moved closer to implementing a P1.9-billion project that would maximize the generation capability of the Agus 2 hydroelectric power plant in Mindanao.

Napocor president Gladys Cruz-Sta. Rita said the P1.9-billion flood control project along Agus River would result in additional capacity of 60 megawatts for the Mindanao grid, which is currently suffering from a power supply crunch.

The local government of Baloi, Lanao Del Norte is set to endorse the project after Napocor turned over P16.7 million to residents affected by the flooding in 2004 and 2008, a condition required for the issuance of the environmental compliance certificate (ECC) and for the endorsement from Baloi LGU of the flood control project.

“The project will result to an additional capacity of 60 MW to the Mindanao grid and will generate additional energy by some 87.6 gigawatt-hours per annum. Moreover, the project will prevent the overflow of the Agus River thus averting potential damage to the crops in the lowlands,” Sta. Rita said.

The project, started in 2003 by the Armed Forces of the Philippines, was suspended in 2008 due to the non-endorsement of the Baloi local government.

After a series of dialogues with the Baloi LGU, Napocor, Department of Energy and Department of Public Works and Highways, the parties have finally agreed to come up with a memorandum of agreement that will facilitate implementation of the project which in turn will provide additional hydro-generated energy, Sta. Rita said.

Agus 2 is one of the six cascading hydro-electric power plants operated and maintained by Napocor for the Power Sector Assets and Liabilities Management Corp. (PSALM).

PSALM is the entity tasked to operate and manage the assets and liabilities of Napocor.

The Agus power plants source a total of 727 MW installed capacity from Lake Lanao.