CABADBARAN, Agusan del Norte (PIA) - In order to address the growing demand for electrical power in the Philippines, the United States Trade and Development Agency (USTDA) Saturday awarded a grant totaling over P16 million to First Gen Mindanao Hydro Power Corporation (FGMHPC) to assess the requirements needed to expand its hydroelectric power plant in Northern Mindanao. The USTDA grant will fund a feasibility study for a 14 to 20-megawatt run-of-river hydroelectric power plant in this municipality. The results of the study will include a hydrology analysis, geotechnical assessment and mapping, environmental and social impact assessments, as well as preliminary design for the power plant.
The feasibility study is part of the US' commitment to support the Philippines in its efforts to develop renewable energy sources and to increase electrification across the country. Once completed, this project is expected to help improve access to electricity for some 20,000 to 28,000 households in Northern Mindanao. During the grant signing ceremony at the US Embassy, US Ambassador to the Philippines Harry K. Thomas Jr. said the funding "is yet another example of the US government's commitment to renewable energy and infrastructure development in Mindanao." "This agreement will also promote trade and establish long-term economic linkages between the United States and the Philippines.
This will result in more jobs for both Filipino and American workers," he added. It was learned that the annual power demand is growing at an annual pace of 7.3 percent and the Department of Energy (DoE) aims to have 10 percent of electricity production to come from hydropower. FGMHPC's president and chief operating officer (COO) Francis Giles Puno, for his part, said the grant will definitely help in providing additional supply of power to the Caraga Region following the brownouts and power outages it suffered in 2009. "First Gen appreciates the support provided by USTDA in its efforts to develop and execute this project to meet the region's growing demand for electricity particularly from clean and renewable power such as hydro," he added. First Gen Mindanao Hydro Power Corporation will use its vast experience from the operations and development of its First Gen-affiliated hydroelectric projects such as the 122-megawatt Pantabangan-Masiway hydro plant in Luzon, and a 1.6- megawatt plant in Bukidnon to complete the project with USTDA's support. USTDA is also currently funding a technical assistance program with the Philippines' Rural Electrification Financing Corporation.
The opportunity to conduct the USTDA-funded feasibility study will be competed on the Federal Business Opportunities (FBO) Web site. A link to the FBO announcement will be posted on the USTDA's Web site at www.ustda.gov. Interested US firms should submit proposals according to the instructions in the FBO announcement. The First Gen Mindanao Hydro Power Corporation will select the US contractor that will complete the technical assistance.
