MANILA — The Department of Environment and Natural Resources signed a deal with a subsidiary of First Gen Hydro Power Corporation for the development of a 120-megawatt pumped storage hydroelectric facility in Pantabangan, Nueva Ecija while preserving the project site as part of a protected area, the firm said on Tuesday.

The Special Use Agreement in Protected Areas (SAPA) enables First Gen Hyro Power Corp (FGHPC) to use a 36-hectare portion of the 84,000-hectare Pantabangan-Carranglan Watershed Forest Reserve for the Aya Pumped-Storage Hydroelectric Power Project or Aya Project, First Gen said in a statement.

DENR issues SAPA to enable productive use of the Philippines' protected areas by providing access to economic opportunities. This also ensures that projects are consistent with the principles of sustainable development and biodiversity conversation, First Gen said.

"This is one of our most crucial permits. We are thrilled to be able to continue our work on the Aya Pumped-Storage Project, and we are grateful for the support of our partners in DENR. We are also thankful to the [LGUs] and our stakeholders for their vote of confidence in us and for choosing us as their newest partner in protecting the watershed forest reserve," First Gen Senior Vice President Dennis Gonzales said.

First Gen said the agreement is valid for 25 years, subject to renewal for another 25 years. FGHPC remitted to DENR a P69.1-million check as SAPA fee, it added.

The clean energy provider said the signing of the SAPA is in line with the Expanded National Integrated Protected Areas System (E-NIPAS) Act.

FGHPC's Aya Project is in support of the government's program to meet the country's growing demand for electricity while keeping carbon emissions low.

"Ito ang mag-boost ng ekonomiya sa bayan ng Pantabangan dahil it will generate employment especially when the pumped storage starts operations. Ang ating LGUs [local government units], may additional income na maibabalik din sa pangangalaga at proteksyon sa watershed," DENR's Assistant Regional Technical Director Forester Joselito Blanco.

“Our partner First Gen Hydro advocates biodiversity conservation. Doon sa mga areas na may footprint niyo, talagang makikita ang partnership ng private sector at government in terms of managing our natural resources," he added.

(This will boost the economy of Pantabangan because it will generate employment... Our LGUs will have additional income they could use to protect the watershed... In areas with your footprint, you can see the partnership of the private sector and government.)

FGHPC also manages the 132-MW Pantabangan-Masiway hydroelectric power plant. Its hydro facilities form part of First Gen’s portfolio of power plants that run on clean and renewable energy sources.

First Gen is a subsidiary of Lopez-led First Philippine Holdings Corp, a conglomerate with a strong advocacy to protect the environment.

news.abs-cbn.com is also part of the Lopez group of companies.

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