MANILA – The state-owned Development Bank of the Philippines (DBP) said Friday it has extended a PHP1.4 billion loan to INVESTCO BHPI, Inc. as partial funding for the construction of an 8.4-megawatt (MW) hydroelectric power plant in Bukidnon.
In a statement, the DBP said the 8.4-MW Maladugao River hydroelectric power plant is expected to be on stream by 2025.
DBP President and Chief Executive Officer Michael de Jesus said the loan was made under the bank’s Financing Utilities for Sustainable Energy Development (FUSED) Program, which seeks to help increase access to electricity services, particularly in the countryside.
“We are honored to be a part of this worthy endeavor,” de Jesus said.
“The construction of the 8.4-MW Maladugao River hydroelectric power plant bodes well for the people of Bukidnon and is a tangible manifestation of President Ferdinand R. Marcos, Jr.’s vision of an energy-sufficient Philippines.
He added that the 8.4-MW Maladugao River hydroelectric power plant has been contracted by the First Bukidnon Electric Cooperative to provide an initial supply of 5.5 MW of electricity to the southern part of Bukidnon, including Valencia City.
The project is expected to help mitigate the impact of a looming energy shortage in the province by 2028, based on data from the Department of Energy.
“More importantly, this project is seen to stimulate the growth of local industries and small businesses and generate more economic opportunities for the people of Bukidnon,” de Jesus said.
Data from the DBP showed as of end-September, the DBP has approved PHP81.5 billion in loans to 95 borrowers under the FUSED program.
Total loan releases have already reached PHP57.2 billion. (PNA)