American firm invests in Aklan
Kalibo, Aklan -- The American power firm California Energy International Ltd., a subsidiary of the Mid-American Holdings, will invest $420 million for the construction of a hydropower plant in Libacao, Aklan, Raymond Cunningham, Business Development Executive of Calenergy International LTd. Cunningham said.
Cunningham met with Libacao town mayor Charito Navarosa recently to present their pre-feasibility report. He said that the hydro exploration would start December 2007.
"We will be pursing the investment. Calenergy Int'l Ltd has enough money to invest, but the challenge that lies on me now is how to justify the return of our investment." He added.
The hydropower is expected to augment the shortage of power electricity in Boracay Island and in the for provinces of Panay namely Aklan, Antiqe, Iloilo and Capiz.
Cunningham also assured residents that the power rates would not be increased for the period of 25 years from the start of its operations.
Navarrosa said the presentation of the pre-feasibility report stemmed from the Memorandun of Understanding (MOU) both signed by the Aklan Provincial Governor represented by Governor Carlito Marquez and Calnergy representatives last May this year.
Aklan Rep. Florencio Miraflores assured Cunningham of the province united political support tot he hydropower project. He believes that this project will push through because there are investors.
"We welcome the developments because Cunningham's team had efficiently able to fulfill their promise to present a pre-feasibility report after six months that the MOU have been signed," Miraflores said.
Last August, the proposed construction of another proposed hydrofirm in Timbaban, Madalag was already approved by the Regional Development Council but an investors had yet to approved proposals to fund the project.
"Let me assure that we are one in realization of this hydropower project a big dream for Libacao, , this hydropower project will set a new economic direction for Libacao," Miraflores added.
(Jun Aguirre)