SN Aboitiz Power (SNAP) and the National Irrigation Administration (NIA) will jointly undertake a feasibility study for the Alimit multipurpose dam project.
Under the Memorandum of Understanding (MOU) signed by NIA Acting Administrator Eddie G. Guillen and SNAP President Joseph S. Yu, both firms will jointly cooperate to pursue the conduct of a study on the feasibility of establishing the project to be used for irrigation, flood reduction in the Province of Cagayan, and additional hydropower generation for the Luzon grid. The cooperation is expected to provide additional benefits for agriculture, aquaculture, tourism and general industry development.
SNAP, a joint venture of SN Power of Norway and Aboitiz Power Corp., has long been reassessing its hydro project following challenges encountered in permitting process and grid interconnection.
“Actually, we’ve held back on Alimit given issues with the permitting,” Aboitiz Power President Emmanuel V. Rubio earlier said.
Rubio has said that the 390-megawatt (MW) Alimit Hydropower Complex has not been cancelled but there had been technical issues that affected the project’s viability. Once these issues are resolved, he said the Alimit project would help alleviate flooding in Northern Luzon because it can trap certain amounts of water.
“It will not prevent flooding, but at least it would help alleviate flooding; and that’s the new track we’re evaluating with the government.”
The NIA and SNAP have long been partners in the operation of the largest multipurpose dam in the country, the Magat dam. This venture is considered vital in the agricultural productivity of Region II and the country and in the generation of electricity for the Luzon grid.
