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Chiz: IPP contract root of dam problems
October 22, 2009
Opposition senator Francis "Chiz" Escudero on Thursday said that Pangasinan's dam woes can be traced back to the National Power Corporation's (Napocor) contract with independent power producer San Roque Power Corporation (SRPC) in the 90s.
"If I can remember correctly, residents of Pangasinan and Benguet were protesting the construction of the dam in their area. However, the government was not able to prevent the project from being pushed," he said.
The 40-year-old lawmaker stressed that among the issues that were being raised by the affected residents then were government guarantees worth $1.2 billion for the completion of the dam; the power purchase agreement (PPA); destruction of ancestral lands; and the possibility of massive flooding.
"One of their foremost fears have been realized when typhoon Pepeng triggered the release of massive volumes of water into several towns," he stressed.
It was the late President Corazon C. Aquino who first signed the IPP contract in 1988 and ballooned to 40 under former president Fidel V. Ramos. It was also under former president Ramos' administration that weak policies, corruption, and overpricing were exposed. The two past administrations justified the IPP contracts to prolonged blackouts in the late 80s and early 90s.
"Even after more than a decade, the dam administrators were not able to implement protocols which could have prevented the deluge which destroyed property and kill people. Napocor and the Department of Energy could also be held responsible. These agencies could have reviewed the contracts properly and ensure the welfare of the people who were victimized," he said.
The SRPC is registered with the Maruen Corp (75%) and the Kansai Electric Power Co. Ltd. (25%).
"The San Roque Dam is capable of producing 345 megawatts of electricity but as we have seen in the past typhoon, it needs to maximize its water level to provide the necessary power," he added.
"If I can remember correctly, residents of Pangasinan and Benguet were protesting the construction of the dam in their area. However, the government was not able to prevent the project from being pushed," he said.
The 40-year-old lawmaker stressed that among the issues that were being raised by the affected residents then were government guarantees worth $1.2 billion for the completion of the dam; the power purchase agreement (PPA); destruction of ancestral lands; and the possibility of massive flooding.
"One of their foremost fears have been realized when typhoon Pepeng triggered the release of massive volumes of water into several towns," he stressed.
It was the late President Corazon C. Aquino who first signed the IPP contract in 1988 and ballooned to 40 under former president Fidel V. Ramos. It was also under former president Ramos' administration that weak policies, corruption, and overpricing were exposed. The two past administrations justified the IPP contracts to prolonged blackouts in the late 80s and early 90s.
"Even after more than a decade, the dam administrators were not able to implement protocols which could have prevented the deluge which destroyed property and kill people. Napocor and the Department of Energy could also be held responsible. These agencies could have reviewed the contracts properly and ensure the welfare of the people who were victimized," he said.
The SRPC is registered with the Maruen Corp (75%) and the Kansai Electric Power Co. Ltd. (25%).
"The San Roque Dam is capable of producing 345 megawatts of electricity but as we have seen in the past typhoon, it needs to maximize its water level to provide the necessary power," he added.
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