NEA sets ‘smooth turnover’ of power coops to BARMM

By Myrna M. Velasco – July 9, 2021, 4:15 PM
from Manila Bulletin

Government-run National Electrification Administration (NEA) has already started the process for the targeted smooth turnover of the electric cooperatives (ECs) that shall be placed under the supervision of the Bangsamoro Autonomous Region in Muslim Mindanao (BARMM).

The agency said the transfer of jurisdiction for the ECs will be in line with the prescription of Republic Act 11054 or the Bangsamoro Organic Law.

To hasten the transfer process, NEA Administrator Edgardo R. Masongsong has assigned Atty Vicar Loureen Lofranco, deputy administrator for Electric Cooperative Management Services, to supervise the special concerns office (SCO) that will sort out all details of the ‘transition process’ on the changeover of authority for the specified ECs in Mindanao.

At least seven ECs will be transferred to BARRM’s domain – and these will cover the Basilan Electric Cooperative; Cagayan de Sulu Electric Cooperative; Maguindanao Electric Cooperative; Siasi Electric Cooperative; Sulu Electric Cooperative; and Tawi-Tawi Electric Cooperative.

The NEA chief emphasized that “with the SCO, we hope to facilitate the smooth operation and transition of the BARMM ECs,” and that will be in compliance to Articles VI and XIII of the Bangsamoro law.

As explained, the BOL has vested the Bangsamoro government with the authority “to create its own departments, agencies, government instrumentality and GOCCs (government-owned and controlled corporations) similar to what the national government currently has.”

On the SCO’s function for the ECs’ turnover, NEA indicated that among the tasks it shall carry out will be “to render technical assistance to the Bangsamoro government in setting up the Electrification Agency similar to the NEA structure to ensure that the transition is effected to the best interest of the BARMM-ECs and their member-consumer-owners.”

The SCO of NEA will likewise collaborate with the Bangsamoro government or its Ministry of Environment, Natural Resources and Energy (MENRE); as well as the other agencies or entities involved in electrification and development programs and operational concerns, primarily in relation to the management and supervision in the Bangsamoro region.

To further advance this transition, NEA also formed a technical team to assist Lofranco, in her current assignment for the BARMM electric cooperatives.

Some of the ECs to be transferred to BARMM have outstanding financial obligations, primarily on their supply procurements – and it was not specifically laid down at this point if these will be written off or how they will be treated upon the transfer of the power utilities to the new regulating authority.