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P23.3M CSR project of Pagudpud wind farm to benefit host communities

By Leilanie G. Adriano
Staff Reporter

Responding to a provincial ordinance mandating all business investors to submit a detailed list of their Corporate Social Responsibility (CSR) projects prior to endorsement, the North Luzon Renewable Energy Corporation (NLREC) bared on Feb. 27 their CSR program worth P23.3 million to benefit host communities over the next three years.

In September 2013, the host barangays of Caparispisan and Balaoi welcomed the construction of an 81-megawatt (MW) wind power farm by the NLREC, formerly known as Northern Luzon UPC Asia.

In a public hearing held at the provincial session hall on Feb. 27, Atty. Wilfredo Peñaflor, NLREC president presented to the Ilocos Norte board the company’s three-year CSR program to benefit at least six municipalities and one city with the construction of transmission lines from the host municipality of Pagudpud to Laoag City.

Of the total P23,268,140 budget for the years 2014 to 2016, Peñaflor said at least 70 percent goes to Pagudpud while the remaining 30 percent will be shared by other host villages where the transmission lines pass through. These include the municipalities of Bangui, Burgos, Pasuquin, Bacarra, Vintar and Laoag City.

“That is just an initial amount. We have a contract for 20 years and we are here to stay for good,” Peñaflor told members of the Sangguniang Panlalawigan during the public hearing also attended by members of the Pagudpud town council led by Pagudpud Vice Mayor Rex Benemerito.

Included in the proposed CSR program covers specific projects for:
a) environment and climate change adaptation such as establishment of seedlings nursery, reforestation of the 50-hectare Ayoyo and Dikong watersheds in Pagudpud, forest protection initiatives, disaster risk reduction and management planning and capacity building;

b) infrastructure development such establishment of street lights, small water impounding projects, farm-to-market roads, fencing of communal grazing area, c)livelihood such as employment assistance, livestock dispersal and at least four college scholarship grants to take engineering, sciences and accounting-related courses to cover tuition fees, book allowance and monthly stipend;

d) health and sanitation such as provision of 30 units deep-well pumps, medicines and medical equipment and construction of public comfort rooms; and

e) socio-cultural development, which directly benefits the indigenous people or indigenous cultural community and support to local government unit.

Once approved, a memorandum of understanding will be signed between the Ilocos Norte government and the private investors to formalize the commitment as agreed in the proposed CSR program.

Earlier, the Ilocos Norte board passed a CSR ordinance requiring all business investors in the province to submit their proposed CSR projects prior to the passage of a resolution of endorsement and support by the board.

By June, the initial first phase of the project is expected to be connected to the grid with at least 32 wind turbines and having double the strength of the 33-MW Bangui wind power plant.


NLREC is a joint venture of Ayala Corporation’s AC Energy Holdings, Inc. (ACEHI), UPC Renewables, and Philippine Investment Alliance for Infrastructure (PINAI). The company tapped Siemens Wind Power A/S and Siemens Inc. for the supply and installation of the project’s wind turbines.

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