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Greenwashed promises: Irregularities taint consent process in hydropower projects

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Juliet Allong, an Isnag resident of Sitio Nacagman in Madatag, Kabugao, relies on farming to sustain her family’s daily needs. She fears that if the Gened-2 dam is constructed, they will lose their home and land, forcing them to start over—a challenge she believes will be very difficult for her family. Photo by Chantal Eco

This is the second of a three-part investigative report on mega-dam projects in the Philippines and their effects on the lives of Indigenous People. (See the first part here

As with many electricity projects on Indigenous ancestral lands, Pan Pacific Renewable Power Corp. Phils. promised relocation, compensation, free electricity, and progress to the Isnag indigenous communities affected by the Gened-1 and 2 Hydroelectric Power Projects (HEPP) in Kabugao, Apayao. However, these promises remain in limbo, with no concrete plans yet in place.

In fact, community leaders are questioning the consultation process. The Free, Prior, and Informed Consent (FPIC) process is usually long and tedious, and takes years to explain projects to local communities to get their consent. It is a process the government now wants to shortcut, as they aim to attract more investments into renewable energy.

During the FPIC process for Pan Pacific’s Gened-1 and 2 Hydroelectric Power Project (HEPP) in Kabugao, Apayao Province, consultations were tainted by allegations of irregularities, including claims that signatures on key documents—such as resolutions appointing elders as negotiators and the Memorandum of Agreement (MOA) between the Isnag community and Pan Pacific—were forged.



Kabugao’s Poblacion village chief Angelo Umingli complained that his signature in the MOA was signed by somebody else. Umingli was listed as one of the elders of his village for the Gened-1 negotiations in 2019.

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Angelo Umingli (left), the village chief of Kabugao Poblacion, poses with some of his council members and village hall staff. Umingli is one of the complainants in a case filed against officials of the NCIP who facilitated the FPIC process for the Gened-1 and Gened-2 projects. Photo by Chantal Eco

In the MOA for Gened-1, Umingli’s name was signed by then municipal Indigenous People’s Mandatory Representative (IPMR) John Anthony Amid. But Amid, now the current Apayao provincial IPMR, denied that it was a forgery.

“Anybody can sign for as long as you are a member of the tribe and you are a community member,” said Amid in Filipino during an interview.

When asked if it was contradictory that anyone could sign since there was supposed to be a resolution appointing specific representatives of the community for the negotiations, he said, “It’s incumbent upon me as an IPMR, that automatically I represent the IPs, so it was like I was a witness [of the MOA signing].”

Amid, who is from Poblacion village, is not among the elders appointed by the community to negotiate for the Gened-1 and is therefore not allowed to sign the documents.

In a July 27, 2021 report for the FPIC process of the Gened-1 project, the FPIC regional review team from the NCIP Cordillera Administrative Region (CAR) office observed that there were irregularities in the process.

The report stated in one of its observations that “Community Resolutions authorizing the 209 elders/leaders appears to have been willfully and maliciously signed by only [a] few individuals.” 

The review team headed by Atty Harriet Abyadang recommended that the “Regional Director to re-constitute the Consensus-Building and Decision-Making for Kabugao AD [ancestral domain]” and “to investigate the falsified Community Resolutions and hold those accountable for legal charges.”

Despite this, the NCIP CAR endorsed Pan Pacific’s application for Certification Precondition signifying that the Isnag community agreed to the project.

LiCAS News contacted PPRPPC multiple times for comments, but they refused to be interviewed.

In the NCIP Commission En Banc’s Resolution 08-051-2021, Series of 2021, the NCIP directed the regional office to look into the alleged irregularities but in the same resolution still approved the issuance of the Certification Precondition to Pan Pacific for Gened-1.

Umingli, along with other members of the Isnag community, filed a motion for reconsideration before the NCIP Commission en Banc, but their complaint was dismissed. They have since filed a motion for review with the Court of Appeals and are awaiting the court’s decision.

Complaints against several NCIP officials and community members advocating for the dam projects were also filed with the Ombudsman, but no resolution has been reached as of press time.

NCIP CAR Regional Director Atty. Calde refused to comment on the controversy.

The race to meet renewable energy targets

Another boost in pushing for renewable energy projects is the implementation of the Energy Virtual One-Stop Shop (EVOSS) that was enacted in 2019. EVOSS, a web-based system for filing, monitoring, and sharing energy-related applications and permits among all agencies involved in the approval process, aims to streamline and expedite the application and implementation of energy projects in the country.

This includes expediting the Free, Prior, and Informed Consent (FPIC) process which is required for energy projects that will be built on ancestral lands.

National Commission on Indigenous Peoples (NCIP) Cordillera regional director Atty. Roland Calde said that the FPIC process in Indigenous communities takes years before a final agreement is reached. But with the EVOSS, he admitted that the process will be faster.

“With the EVOSS law, the government wants to speed up our process,” said Atty. Calde in an interview.

The FPIC process in the Philippines, outlined in NCIP Administrative Order No. 3, Series of 2012, ensures that Indigenous Cultural Communities/Indigenous Peoples (ICCs/IPs) give informed consent before any project affects their ancestral domains. 

The process starts with a pre-FPIC conference to determine the project’s scope, followed by a field-based investigation to assess impacts. At least two community consultations are supposed to be held and if necessary, documents or materials about the project and its impacts should be translated into their local language to fully inform ICCs/IPs about the project. Using their traditional decision-making processes, the community decides whether to grant or deny consent through a written resolution. The NCIP Regional Director will endorse the issuance of the Certification Precondition (CP) which the NCIP Commission en Banc will affirm, and if denied, the project cannot proceed. The project proponent and community will also negotiate to formulate a Memorandum of Agreement (MOA) detailing the benefits, compensation, and responsibilities of both parties. The NCIP monitors compliance with agreements throughout the project.

In an interview with an NCIP Central Office official who requested anonymity, with the EVOSS system, the process is still the same but they are expedited because they were given a timeline of 105 calendar days or around 5 to 6 months in actual for the FPIC process and issue a Certification Precondition.

“If we cannot issue the CP within 6 months, the system will issue a deemed-approved CP,” said the NCIP official.

Capongcol however said that they consult concerned agencies like the NCIP first before setting timelines for projects.

“We’re trying to balance things here, and we can’t wait for several years just to develop the energy resource,” explained Asec. Capongcol.

To align with the government’s aim to generate more energy from renewable sources, the NCIP held a national consultation with concerned stakeholders last May to amend the FPIC guidelines. According to an NCIP official, the Commission en Banc is set to approve the amended guidelines based on the inputs during their consultation this October.

One salient point of the FPIC guidelines amendments shared by the NCIP official is the option to hold the 2nd Community Assembly on the same day if the community decides and signs a resolution.

The FPIC guidelines require two community assemblies to discuss the FPIC process, the decision-making process, the presentation of the project, and other important matters related to the project.

“But it’s not true that the rights of our Indigenous Peoples (IPs) to Free, Prior, and Informed Consent (FPIC) will be compromised, even if we streamline the process,” said the NCIP official.

According to Beverly Longid of the Indigenous peoples’ group Kalipunan ng Katutubong Mamamayan ng Pilipinas (Katribu), some of the proposed amendments to the guidelines are to expedite the FPIC process within ten days.

“The concept of FPIC is that it should be obtained at every stage of the development process or phase of the project, the process cannot be rushed, nor can it be simply set aside, like saying, ‘your rights only go this far’ — that’s not acceptable,” said Longid.

She also criticized DOE and the EVOSS for being part of the discrimination against indigenous peoples.

“The Department of Energy’s one-stop shop policy is not just about fast-tracking the processing, but also disregarding the rights of indigenous peoples to ancestral land and self-determination,” said Longid.

The FPIC process, intended to protect Indigenous communities from exploitation and unfair agreements with the government and private entities, is being undermined by the aggressive push for renewable energy projects according to Katribu. The process is often expedited to secure the necessary permits from various government agencies, compromising its integrity.

Some members of the Isnag community also claimed that there were reports of bribery during the assemblies. 

In an interview, Julio (not his real name), a resident of Madatag village in Kabugao where the Gened-2 dam and powerhouse will be constructed, said former Madatag village chief Castro Padeway gave him Php3,000 (USD53) after attending the assemblies. 

Julio recounted that he received another Php2,000 (USD35) at the next meeting. But the money stopped coming during the third meeting when he showed up in a shirt with a “No to Dam” print.

Padeway denied that the money was a bribe and didn’t say where the funds came from. “We come from far away. For example, when we arrive there, after the meeting or assembly, me as the Barangay Captain or the head of the barangay, would gather them and just give them a small amount for gas, to get there and back,” he said. 

Another Isnag community member, Cris (not his real name), alleged that during one of the assemblies for Gened-1 at the municipal gym in Kabugao in 2021, Amid handed out bundles of Php1,000 bills after the assembly.

“I saw them right outside the venue, lined up,” Cris said. “The people were being paid, but it was made to look like they were heading to a drinking session.” Amid denied that this happened.

Lack of transparency

For a public interest project, there seems to be a scarcity of information about Pan Pacific and its hydropower projects.

In Kabugao town where Pan Pacific’s Gened-1 and 2 will be built, community members and even the elders and village officials of affected communities attested that they have not seen any copy of the projects’ details and Environmental Impact Statement (EIS) aside from what was presented during the assemblies. 

The FPIC process guidelines require the project applicant to submit, during the pre-FPIC conference, an “undertaking, written in a language spoken and understood by the community concerned, that it shall commit itself to full disclosure of records and information relevant to the plan, program, project or activity, that would allow the community full access to records, documents, material information and facilities pertinent to the same.” Proponents should also submit “an Environmental and Socio-cultural Impact Statement, detailing all the possible impact of the plan, program, project or activity upon the ecological, economic, social and cultural aspect of the community as a whole.”

The Department of Environment and Natural Resources’ Environmental Management Bureau (DENR-EMB) refused to provide a copy of the Gened-1 and 2 EIS in response to a Freedom of Information (FOI) request. EMB employees argued that the documents are proprietary and thus cannot be freely distributed, despite the project’s public interest status. Local stakeholders have not seen a copy of the document.

The NCIP on the other hand requires that there should be a written letter “attesting conformity by a party whose signature appears in the MOA” before they release a copy of documents related to the FPIC proceedings of Gened-1 and 2.

Atty. Ryan James Solano, the lawyer handling the complaints from the Isnag community, requested certified true copies of the documents related to the FPIC process proceedings, as they are required to attach these documents to their complaints. However, his request was denied for the same reason previously cited. He also requested a certified true copy of the NCIP’s resolution denying their motion for reconsideration but did not receive it. Some of his clients, who are signatories to the complaints, are also signatories of the MOAs for Gened-1 and 2.

“We were just asking for a copy of the denial, is that not possible? Because the petitioners are not considered parties with an interest? Their reasons seem so illogical and unreasonable. Because of this, we relied on our sources who provided us copies of these documents that we needed,” said Atty. Solano.

Meanwhile, the DOE has provided copies of Pan Pacific’s service contracts for its hydropower projects but essential annexes related to the projects were omitted saying that they are confidential. The service contract provides a confidentiality clause stating that “proprietary information shall be kept strictly confidential at all times subject to lawful acquisitions of such information under existing laws and regulations.”

Energy for whom?

Pan Pacific’s Gened-1 and 2 projects have been identified by DOE as Energy Projects of National Significance. This means that these are “major energy projects for power generation, transmission and/or ancillary services including those required to maintain grid stability and security.”

These projects are expected to connect to substations of the national grid system operated by the National Grid Corporation (NGCP), which will then distribute the electricity to consumers through distribution companies.

But will Pan Pacific’s hydropower projects really benefit the indigenous communities in Apayao?

Kabugao Vice Mayor Fabulous Tucjang said in an interview that these projects will bring progress to their town and province as a whole.

“I saw it as a way to jumpstart our town’s progress. After all, what are we going to do with the water if we don’t utilize it?” said Tucjang.

Tucjang also said that Pan Pacific will give 2MW of clean energy for free to their organization, the Kabugao Isnag Indigenous Peoples Organization (KIIPO), which was established after the MOA signing for Gened-1.

“That means, if we convert that into a numerical value, it amounts to millions of pesos going to our organization to provide funding for projects that are truly beneficial to our community,” said Tucjang.

According to the former IPMR of Waga village Warling Maludon, the company said during the assemblies that electricity would be free.

“They only talk about advantages. What is the advantage they’re talking about? ‘It’s good. Just good. Your electricity will be free,’” said Maludon in Filipino.

In the MOA for Gened-1, the section on non-monetary benefits specifies that Pan Pacific will enter into a 5-year Supply Agreement with the electric cooperative that the Isnag will establish to provide 2 MW of clean energy annually to Kabugao and Pudtol once commercial operations of the dam begin. The agreement does not state that the company will provide energy for free.

Currently, electricity in Kabugao is generated solely by the National Power Corporation’s (NAPOCOR) diesel power plant and distributed by the Kalinga-Apayao Electric Cooperative, Inc. (KAELCO) to some of the town’s villages. The power plant is not connected to the main electricity grid.

During the community consultative assembly for the Gened-1 in 2017, it was revealed that Pan Pacific plans to connect to the nearest National Grid Corporation (NGCP) sub-station in Lallo Magapit and distribute energy to Cagayan Electric Cooperative II (CAGELCO) located in Aparri, Cagayan. Meanwhile, Gened-2 will also be connected to the power grid owned by NGCP according to the project’s EIS. 

Although there have been mentions of establishing an Apayao Electric Cooperative, an electric distribution company to be run by the Isnag, there are no concrete plans for this yet.

However, residents of Madatag village in Kabugao where the Gened-2 will be built, are skeptical of the free electricity promise.

“There’s nothing free with that. Once that’s built, nothing will be free anymore because that’s a business,” said Juliet Allong, an Isnag resident of Madatag, in her local language.

According to Longid, there is no record of electricity projects in the country that, after displacing indigenous peoples from their ancestral lands, provided free electricity to the affected communities.

“If you look at the history of Ambuklao and Binga (dams), that’s a very sad story. These stories are a continuing narrative and the victims of these dams are still crying for justice,” said Longid.

She added that it’s not the indigenous peoples who benefit from these projects.

“In the name of the majority, we’re always asked to sacrifice for national development. But in reality, it’s not the majority of the Filipino people who benefit from these projects. Just look at how high our electricity rates are,” said Longid.

(To be concluded)

This story was made possible by a grant from Internews’ Earth Journalism network through the Asian Center for Journalism at the Ateneo de Manila.

© Copyright LiCAS.news. All rights reserved. Republication of this article without express permission from LiCAS.news is strictly prohibited. For republication rights, please contact us at: [email protected]

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Picture of Written by <span>Chantal Eco</span>
Written by Chantal Eco
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