IT’S ON KANAN RIVER THIS TIME
By Pol Derilo
With the petitioners’ pen still wet immediately after signing the petition against the construction of Laiban Dam on the Kaliwa River in General Nakar, Quezon, the same petitioners may decide again to sign another statement of resentment, this time against the construction of a similar project on the Kanan branch of the same river. With the vigilant and watchful eyes of Task Force Sierra Madre, they were able to gather and relay the following information.
On February 19, 2007, the Sangguniang Bayan (LGU) of General Nakar unanimously voted (Mun. Vice-Mayor Bobby A. Portillo, Passing Out) to authorize Mayor Hernando P. Avellaneda to enter into and sign the Memorandum of Agreement with Energy World International, Ltd.
Based on the premise of developing the economy and promotion of the general welfare of its people, General Nakar’s Sangguniang Bayan approached Energy World International, Ltd. (EWI) and expressed its willingness and ability to have the water resources of Kanan River be developed through the construction of Kanan B1 Hydroelectric Power Plant. EWI then expressed interest in the project and would then conduct in depth study of the proposal.
EWI will finance the project construction and its operation, resettlement of affected families and other pre-operating expenses. These expenses are deductible though from the LGU revenue shares once the project becomes operational. Such LGU revenue is ¼ of 1% on the water utilization from the Kanan River and collection of whatever taxes and licenses due from EWI. The original proposal of 20% revenue share of LGU from net income was scrapped during the session and instead stipulated that in the event that the project becomes feasible and with MERALCO agreeing to purchase power, the project becomes a joint venture between EWI and LGU.
A provision that standout among the Miscellaneous Provisions is section 3.1 regarding Confidentiality. Without exactly knowing the intent and motivation of the parties of the agreement, neither side shall disclose the terms and conditions of the Agreement to a third party and to the extent practicable, use reasonable efforts to prevent disclosure.
Energy World International, Ltd. is a Hong Kong based foreign company. Mr. Stewart Elliott, Esquire, Managing Director signed on its behalf while Hon. Hernando P. Avellaneda, Sr. signed for the Municipality of Gen. Nakar. EWI’s Philippine address is:10th Floor, Ramon Magsaysay Center, 1680 Roxas Blvd., Manila. Its RP Manager is Mr. Eddie Rodriguez, ex-governor of Quezon province and now intends to run for vice governor.