NEA lends P1.2 billion to 35 electric cooperatives
By Alena Mae S. Flores – February 19, 2023, 6:50 pm
from manilastandard.net
The National Electrification Administration said over the weekend it approved a total of P1.2 billion worth of loans to 35 electric cooperatives last year.
Data from the agency’s Accounts Management and Guarantee Department showed the ECs used P561.10 million for capital expenditures, P151.36 million for working capital loans, P505.76 million for calamity loans and P50 million for a short-term credit facility.
The NEA identified the ECs that availed of loans to finance their capex projects as La Union Electric Cooperative, Tarlac I Electric Cooperative, Quezon I Electric Cooperative, Quezon II Electric Cooperative, First Laguna Electric Cooperative, Oriental Mindoro Electric Cooperative, Occidental Mindoro Electric Cooperative, Camarines Sur I Electric Cooperative, Camarines Norte Electric Cooperative and Iloilo III Electric Cooperative.
Bohol I Electric Cooperative, Bohol II Electric Cooperative Inc., Leyte IV Electric Cooperative, Northern Samar Electric Cooperative, Zamboanga del Sur II Electric Cooperative, Zamboanga del Norte Electric Cooperative, Misamis Oriental I Rural Electric Service Cooperative, Bukidnon Second Electric Cooperative, Davao Oriental Electric Cooperative, Basilan Electric Cooperative, Tawi-Tawi Electric Cooperative, Surigao del Sur I Electric Cooperative and Siargao Electric Cooperative also availed of capex loans.
Meanwhile, working capital loans went to Abra Electric Cooperative, Busuanga Island Electric Cooperative, Occidental Mindoro Electric Cooperative, Camarines Sur III Electric Cooperative Inc. and Camotes Electric Cooperative Inc.
The NEA granted calamity loans to 10 ECs that were devastated by Typhoons Odette and Kiko.
About P505.76 million was used for the repair of the damaged power distribution systems of Batanes Electric Cooperative, Palawan Electric Cooperative, Bohol I Electric Cooperative, Bohol II Electric Cooperative, Cebu I Electric Cooperative, Negros Oriental I Electric Cooperative, Leyte IV Electric Cooperative, Southern Leyte Electric Cooperative, Misamis Oriental II Rural Electric Service Cooperative and Surigao del Norte Electric Cooperative.
Lanao del Norte Electric Cooperative availed of the short-term credit facility.
The NEA has been offering financial assistance to ECs through its Enhanced Lending Program, which consists of regular, calamity and concessional loans, stand-by and short-term credit loans, single-digit system loss, renewable energy and modular generator set loans.
It reminded the ECs to submit their reportorial requirements for the EC Overall Performance Assessment which will start on Feb. 28.
The assessment intends to measure the financial, institutional and technical performance of electric cooperatives nationwide to determine creditworthiness, level of development, protection, empowerment and satisfaction of the member-consumer-owners.
It also aims to promote accountability and responsibility in ECs’ compliances and fiduciary obligations while serving also as a basis for crafting performance incentive mechanisms for the ECs.
NEA Administrator Antonio Mariano Almeda earlier announced a plan to amend EC categorization, giving emphasis to sound financial management and good housekeeping.
