MANILA – Hedcor, the run-of-river hydropower unit of Aboitiz Power Corp., has disbursed PHP20.1 million to local government units (LGUs) in Luzon and Mindanao where its projects are located.
Under the Energy Regulations 1-94 (ER 1-94) Program of the Department of Energy (DOE), host communities to energy generation projects are entitled to PHP0.01 per kilowatt-hour of the total electricity sales of the company.
Their shares shall finance electrification, livelihood, and development projects.
But with the coronavirus disease 2019 (Covid-19) pandemic, the DOE allowed the use of these funds for Covid-19 response.
“In accordance with the Bayanihan to Heal as One Act, host LGUs can maximize ER 1-94 shares in mitigating the repercussions brought by the pandemic,” Hedcor Group Assistant Vice President Andy Faelnar said in a statement Monday.
According to Hedcor, over 12 barangays, four cities and municipalities, provinces of Davao del Sur and Bukidnon, and Region 11 are among its beneficiaries for the ER 1-94 in Mindanao.
In Northern Luzon, the ER 1-94 funds benefitted the host barangays in Benguet, Mt. Province, and Ilocos Sur.
The Aboitiz subsidiary added its remittances before 2018 are currently with DOE and are also being disbursed to LGUs of host communities.
“The assistance provided by these funds are supplement to Hedcor’s previous three-wave relief assistance, which was conducted in support over the government’s effort to flatten the Covid-19 curve, and prioritized the distribution of ready-to-eat goods and medical supplies,” Hedcor said. (PNA)
