By Alena Mae S. Flores

The rehabilitation of Ambuklao Hydroelectric Power Plant in Bokod, Benguet is under way, SN Aboitiz Power-Benguet Inc. said yesterday.

Power Sector Assets and Liabilities Management Corp. turned over the ownership of the 175-megawatt Ambuklao and Binga Hydroelectric Power Plants to SN Aboitiz Power in July 2008 after offering the highest bid of $325 million.

?We are proud to announce that SN Aboitiz Power has commenced the rehabilitation of the Ambuklao plant in compliance with our obligation to PSALM under the sale agreement and as our contribution in ensuring the supply of renewable energy in the Luzon grid in the coming years,? SN Aboitiz Power chief executive Emmanuel Rubio said.

The rehabilitation of the plant started in December 2008 with the civil works aspect of the project while electro-mechanical works will begin this month.

SN Aboitiz Power is a consortium that includes SN Power of Norway (through its holding company in Singapore) and Aboitiz Power, a subsidiary of Aboitiz Equity Ventures.

SN Aboitiz Power?s two-year rehabilitation program will take two years to complete,or by 2010.

The company said the Ambuklao plant rehabilitation project was being implemented by a team of leading foreign and local experts in hydropower construction headed by project director Rolf Baaserud, a Norwegian.

The rehabilitation will make use of existing areas and facilities turned over by National Power Corp. to SN Aboitiz Power and will not cause any displacement or disturbance in the area.

SN Aboitiz Power said it secured all permits and licensesand held consultations with the host communities prior to commencing the project.