Construction work has begun on a $140 million project to build six small hydroelectric plants in the Ancash region of Peru.

IBT Group of Miami announced that its subsidiary, Hydrika Generación SAC, laid the foundation stone on 21 October for the construction of access routes that will pave the way for the company to build the plants, which will have a total capacity of 55.7MW.

“We expect the electricity generated by the plants will help to close the gap between real demand and lack of capacity in the area. Clean energy from hydroelectric power plants can be generated at competitive prices, which will contribute to the growth and development of the region,” said Daniel Toledano, managing director of IBT Group in Miami.

The first phase will consist of building two access roads to support the machinery needed to carry out construction of the hydroelectric power plants. The initial work will require an investment of $4.7 million with completion expected by 31 January 2017.

Five of the plants – Hydrika 1, 2, 3, 4 and 5 – will be located in the Pampas district to serve an area of about 2.4 square miles. The sixth plant – Hydrika 6 – will be built in the province of Pallasca adjacent to Pampas. Hydrika Gernacion was awarded the contract with the Peruvian state for the sale and supply of the generated electricity.