Napocor tops GCG governance ranking

Lenie Lectura - December 18, 2020
https://businessmirror.com.ph/2020/12/18/napocor-tops-gcg-governance-ranking/

The National Power Corp. (Napocor) was named as the top-performing agency among 80 government-owned and controlled corporations (GOCCs) in the 2019 Corporate Governance Scorecard, the state firm said Thursday.

From the previous year’s assessment score of 87.50 percent, Napocor’s rating improved to 100.52 percent.

This is also the first time that it landed on the top spot among 11 GOCCs in the Energy and Materials sector in the governance ranking, the state firm said.

Earlier this year, Napocor was also among the top 10 GOCCs with the biggest dividend contribution to the national treasury.

Republic Act 7656 requires GOCCs to remit at least half of their net earnings to the national government. Napocor contributed P4 billion pesos this year.

The Corporate Governance Scorecard is an annual assessment conducted by the Governance Commission for GOCCs (GCG) to ensure sound governance and standards of agencies. It measures the GOCCs’ policies and practices on stakeholder relationship, disclosure and transparency with information and relevant data, and the responsibilities of its Board.

Likewise, the Corporate Governance Scorecard also ensures that agencies enhance their corporate value. It closely monitors the GOCCs’ Performance Scorecard, a system of setting measures, targets and initiatives in facilitating accomplishments and meeting strategic objectives of the organization.

The GCG was created under the GOCC Governance Act of 2011 to ensure transparent operations of GOCCs. In 2015, it developed the Corporate Governance Scorecard modeled from the Principles of Corporate Governance of the Organization for Economic Cooperation and Development and the ASEAN Corporate Governance Scorecard.