The three hydro power plants in Asin with a capacity of 4.2 megawatts are being maintained and operated by Baguio Water District but its contract is going to expire in August 31 this year and does not intend to renew its contract.

Already, the Spanish government has committed to provide P35 million in grant to the local government of Baguio to fund for the feasibility study of the power project. Under the plan, the capacity of the Asin hydro plants would be raised to 11 MW from the existing 4.2 MW.

As this developed, Spanish economic and commercial counselor Jose Miguel Cortes expressed hope the local government could come up with a feasible plan.

Spain has always been interested in investing in the country’s energy sector. Recently it financed the feasibility study for a wind power project in Camiguin and hydroelectric power in Palawan.

The Spanish Chamber of Commerce (La Camara) has also brought 11 companies to Baguio for a three-day expo that aims to find trade partners in northern Luzon.

Experts believe that, although Baguio is technically tied to the Luzon grid, a power crisis is imminent within the next three years with the current population growth in Baguio and power supply demands continuing to rise.

The Asin mini-hydroelectric power plants have been estimated to need a fresh P165 million to rehabilitate and another P380 million to increase capacity to 11 megawatts. (BCM)

Current cost of building a new hydroelectric power plant is estimated to be in the vicinity of P1 billion per megawatt.