The primary purpose of the dam is to generate hydroelectric power and it supports a 180 MW power station.

In 1958, Suriname Aluminum Company LLC (Suralco [nl]), a subsidiary of Alcoa, gained an agreement with the Suriname government to build the dam to power an aluminium smelter.

About 75% of power generated is used for processing aluminum, the rest is used in Paramaribo downstream.

Greenhouse gases emitted from the reservoir resulted in poor water quality for decades.

Highly acidic water also damaged the power station's turbines.