THE P3.8-billion 40-megawatt hydro power plant in Bago City to be developed by the Alcantara-owned Alsons Consolidated Resources Inc. (ACR) is seen to start construction before the year ends.

Provincial Legal Officer Jose Maria Valencia said the project documents have been finalized and Alto Power Management Corp., a unit of ACR, will present the project before the city council on June 3.

The project planning started in 2008, with the feasibility study already conducted, and it was endorsed by Governor Isidro Zayco.

Based on the project proposal presented, Alto Power will build three cascading hydro power plants from San Carlos City to Murcia town, then Bago City.

Last year, the water rights was given to Alto Power, and subsequently, Alsons Energy Development Corp. took over the company.

“Once the project is realized, thousands of Negrenses will be given employment. The water will only be used to propel the turbines. The water will go back to the river and it will not affect the irrigation system,” Valencia said.

Hydro power will be sold at P4 per kilowatt hour as stated in the memorandum of understanding signed between the province and the company during the term of Zayco, Valencia said.

ACR said the proposed facilities, which will take four years to construct, will have an aggregate capacity of 40 megawatts and these will be located along the upper Bago River.