Citing concerns about fire hazards, property values and the loss of scenic mountain views, hundreds of people packed the Lake Elsinore cultural center Wednesday to speak against a proposed hydroelectric power plant that would be built in the hills above Lake Elsinore.

Two hours into the public hearing hosted by the Federal Energy Regulatory Commission, more than 40 area residents voiced opinions about a federal study that examines the environmental impact of the project.

The environmental report is in its public-comment phase, and a final report is expected in late July. The Federal Energy Regulatory Commission will ultimately decide whether to issue a license for the project.

The Lake Elsinore Advanced Pump Storage Project is being proposed by the San Diego County-based Nevada Hydro Co. and the Elsinore Valley Municipal Water District. The project would pump water from Lake Elsinore uphill to a reservoir so it can be released back downhill, powering turbines that generate electricity during peak demand hours.

Electricity would be transmitted through 30 miles of power lines that would go through the Cleveland National Forest and end near Camp Pendleton in San Diego County.

The federal report concludes that the project would have a number of effects on oak-lined Morrell Canyon where a reservoir and dam would be built - including rerouting a hiking trail, disrupting a creek, and removing about 20 acres of wetlands and forest.

Transmission lines running along the mountaintops could interfere with fire-suppression efforts and hang-gliding launching sites in the Cleveland National Forest.

The report examines neighboring Decker Canyon as an alternate location for the reservoir, with transmission lines running halfway down the mountain. The report also puts the total cost at $1.3 billion, almost twice as much as Nevada Hydro's original estimate.