The development of the country’s hydropower resources is essential to meeting energy demand over the next ten years. The Department of Energy aims to double current generating capacity from hydropower resources, as provided for under the Renewable Energy Policy Framework.

ORMECO is the only distribution utility which serves the whole Province of Oriental Mindoro, consisting of one city, Calapan, and fourteen municipalities the include Puerto Galera, San Teodoro, Baco, Naujan, Victoria, Socorro, Pola, Pinamalayan, Gloria, Bansud, Bongabong, Roxas, Mansalay and Bulalacao.

ORMECO’s current peak demand is 26 megawatts and its energy demand is 147,526,000 kilowatt-hours.

Due to lack of reserve power, increase in load demand, and to prepare for the eventual phase out of NAPOCOR because of privatization, construction and installation of new power plants are needed to accommodate the electricity demand of the whole Province of Oriental Mindoro.

The government with the cooperdation of the private sector is continually exerting efforts such as hydro to contribute to the country's pursuit towards energy independence. Mini hydro plants will contribute immensely to the stabilization of supply of power and in lowering the generation cost mix of ORMECO. OPI will complete its first 10 megawatt mini hydroelectric power plant in the northern part of Mindoro Island by the end of 2018. The project site is within the Inabasan River, a tributary that emanates north of Mt. Halcon (2583m) – the third highest peak in the country. It is situated within the vicinity of Barangay Caagutayan in the municipality of San Teodoro, a very remote locality which belongs to Barangay Inabasan. Hydropower plant capacity factor in the Philippines typically ranges from 35% to 65%. The Inabasan mini hydro power plant will be able to run at the full rated capacity of 10 megawatts with 88% plant factor, making it one of the best hydropower sites in the country.

Permits and licenses issued for the Inabasan mini hydro power plant:

• Hydro Service Contract with DOE
• Department of Energy Certificate of Registration (Regn No. HSC-2010-03-132)
• Environmental Compliance Certicate (ECC-R4B-1007-0110)
• Water Permit by NWRB