NEA surpasses 2019 electrification target

Danessa Rivera (The Philippine Star) - March 2, 2020 - 12:00am

https://www.philstar.com/business/2020/03/02/1997313/nea-surpasses-2019-electrification-target

MANILA, Philippines — State-run National Electrification Administration (NEA) surpassed its electrification target for 2019 as it connected over 500,000 new consumers, bringing its overall energization level under the franchise areas of different electric cooperatives (ECs) nationwide at 95 percent.

Data from NEA showed that ECs reached 586,144 additional consumer connections last year.

NEA administrator Edgardo Masongsong said this number is 27 percent higher than the corporate target of 460,000 additional consumer connections for last year.

Overall, the level of energization within the coverage areas of non-profit distribution utilities nationwide is at 95 percent or 13.625 million connections out of the 14.335 million potential consumers based on the 2015 census.

Forty-seven percent of these consumer connections, or 6.429 million, are located in Luzon; 27 percent or 3.641 million are found in Visayas; and 26 percent or 3.556 million are in Mindanao. 

The top five provinces with the highest number of consumer connections are Negros Occidental (616,041), Pangasinan (561,052),  Batangas (512,242), Cebu (506,580), and Leyte (452,531).

This helps keep the state-run electrification agency, together with its 121 partner ECs across the country, on pace towards achieving the 100-percent energization target by 2022. 

“For this year to 2022, the challenge is the energization of the remaining 1,874,709 unserved consumers within the coverage areas of 121 electric cooperatives across the country,” Masongsong said. 

The NEA said earlier its national government subsidy allocation will prioritize ECs with low electrification rates—particularly those at 74 percent and below—that have good project liquidation performance. 

Power coops in areas with problems on peace and order, financial liquidity, and those classified as “medium” and below will also be considered for specific electrification related projects.

“Electric cooperatives with energization levels ranging 95 percent and above, based on the 2015 census without growth rate, shall be the least priority for allocation,” Masongsong said. 

Better-performing ECs will be required to utilize their internally generated funds, scout potential private investors for joint ventures, tap international and local grants and programs, and include in their capital expenditure project application to the Energy Regulatory Commission other necessary programs for development.

This year, the NEA has been given P2.3-billion national government subsidy for rural electrification projects based on the 2020 General Appropriations Act. Bulk of the amount or P1.399 billion was allocated for the continuing implementation of the Sitio Electrification Program.