Energy dep’t identifies 8 ‘ailing’ electric cooperatives; Philreca criticizes Cusi

THE Department of Energy (DoE) has reduced to eight from 17 the number of electric cooperatives that are “ailing” and have failed to provide the required services, leaving them open to a possible takeover by private entities.

“Eight ’yung lumalabas. Kinakausap namin para maayos ’yung system. Wala tayong nirerevoke (There appears to be eight. We’re talking to them to fix their system. We have not revoked [any franchise].),” Energy Undersecretary William Felix B. Fuentebella told reporters on Tuesday, about a month after the DoE secretary ordered a review of the cooperatives’ financial and technical performance.

He identified the eight as the electric cooperatives (ECs) in Basilan, Sulu, Tawi-Tawi, Ticao, Maguindanao, Abra, Lanao del Sur and Masbate.

Mr. Fuentebella said private entities had been targeting the ailing cooperatives to have their franchises revoked, leading to a possible takeover.

“Sinasabi ni Sec. [Alfonso G. Cusi] Cusi mag-concentrate tayo

sa ailing [ECs] and at the same time, paano natin maayos ’yung system kung ano ’yung best sa

kanila. (Secretary Alfonso G. Cusi has been saying that we should concentrate on the ailing ECs, and at the same time look at how we can fix their system and find what’s best for them.),” he said.

Mr. Fuentebella said they will submit a report to Mr. Cusi, who will then decide on the next course of action. The results of the review is expected within the first half.

Meanwhile, as the DoE pursues the review of the ECs financial and technical performance, the cooperatives called for Mr. Cusi’s resignation.

Philippine Rural Electric Cooperatives Association, Inc. (Philreca), which has 121 member-ECs nationwide, claimed that Mr. Cusi is “incompetent and ignorant of the law.”

It pointed to his alleged “biases and pre-conceived negative notions against electric cooperatives; preference to private for-profit corporations; abuse of power; lack of genuine knowledge regarding rural electrification and cooperativism, and failure to recognize the success and gains of rural electrification and development not just because of the government through the National Electrification Administration (NEA) but most especially because of electric cooperatives commissioned and considered implementing arm of the government.”

Separately, NEA Administrator Edgardo R. Masongsong has called on the leaders of the cooperatives and the officials of the DoE “to engage in a dialogue and find bases of unity and work together to reconcile their respective policy positions on issues that are relevant to an industry that affects the lives of 104 million Filipinos.” —