The hydroelectric plant will be built at the current Red Rock Dam on Des Moines River near Pella, Iowa and have a production capacity of 36.4MW.
RRHP will be capable of addressing power requirements of about 18,000 households in the region.
With the availability of full water, the facility can generate about 55MW of power.
MRES CEO Tom Heller said, "Since we first announced our intentions to build the Red Rock Hydroelectric Project in 2011, we have been working our way through an intense, time-consuming regulatory process with state and federal agencies."
US-based Ames Construction, which has headquarters at Burnsville in Minnesota, is expected to begin construction of RRHP in late 2014 with start of commercial operations anticipated in the second quarter of 2018.
Earlier, the US Army Corps of Engineers had two approvals for the construction of RRHP.
