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EDC or Energy Development Corporation revealed about the plan to enter in the hydropower or hydroelectricity business- a water-generated electricity and also a renewable energy-when it proposed to obtain most of the stocks of First Gen Hydro Power Corporation. EDC made an unsolicited offer of 60% stake which costs $105 million to First Gen Hydro.

The offer of the EDC to buy 60% of its hydropower unit which is the Pantabangan-Masiway hydroelectric power complex was accepted by the First Gen Corporation. The said power plant was acquired from the Power Sector Assets and Liabilities Management Corporation or PSALM in 2006 in the month of November. Said by the EDC board in an unconnected publication.

The 100-megawatt Pantabangan started its operations in the year of 1977 and consists of two 50MW generating units while the 12-megawatt Masiway started in the year of 1981 and consisting of only one 12MW-generating unit. Both of the facilities are located in Pantabangan, Nueva Ecija Province Central Luzon.

The deal of the EDC and First Gen was expected to close by the end of the year. EDC and First Gen Hydro belong to First Gen Corporation which is both from the power holdings of the Lopez Group.

Paul Aquino, chief executive and president of EDC has said, “Our entry in this business clearly complements our portfolio and provides EDC with vast opportunities for growth.” The Energy Development Corporation or EDC is establishing an 86-megawatt wind farm in Burgos, Ilocos Norte.

Frederico R. Lopez, chief executive of First Gen has said in a separate statement “the sale is aimed at promoting renewable and cheap energy in the Phillipines.” He added that, “The Pantabangan-Masiway plant is a ‘crown jewel of an asset and will open up a lot of opportunities for EDC to grow.”

Moreover, The Pantabangan-Masiway power plant provides employment to some of our fellow Filipinos and hoping that in its new management, more job opportunities will be provided to lessen our country’s unemployment.