La Union town to start construction of P230-M hydro power plant

TUBAO, La Union, March 26 (PNA) — The municipal government of Tubao is set to start the construction of a P230-million hydro power plant in Barangay Halog East here starting April which is expected to be completed from eight months to one year.

Vice Mayor Dante Garcia said the project will generate 1.5 megawatts of power which will be purchased by the La Union Electric Cooperative (Luelco) which in turn will sell the same to electric consumers in La Union at a price which is P1 cheaper than the prevailing electricity rates in the province.

“There is already a power purchased agreement between Luelco and the Tubao Hydro Power Corporation (THPC) — the project’s name,” Garcia said, adding that clearing of the road going to the project site is now ongoing.

Garcia said the feasibility study of the project was undertaken by Auburn Consultancy while the funding will come from the Robinsons Bank through a loan agreement it signed with the Tubao municipal government.

The project will be built along the Tubao-Aringay River whose water comes from the mountain ranges of Benguet province.

The location is suitable because of its soil and rock formation and far from residential houses.

“We come out with this project because we see the unstoppable increase in power rates. This is a solution to the shortage of electricity supply and we also want to develop our natural resources like this project,” Garcia added.

He said the project is a public-private partnership with a secondary component for irrigation purposes.

2nd District Representative Eufranio Eriguel said he fully supports the project because it will help power consumers in Tubao and neighboring towns in his district and La Union as a whole.

“Aside from charging low power rates, the project will also provide employment because it needs workers to operate the plant. On the other hand, the municipal government will also have a share of revenues from the project,” Eriguel said.

At the same time, the Tubao government will be represented properly in the THPC Board of Directors. (PNA)