NEA to take over ailing Abreco
State-run National Electrification Administration (NEA) has taken over ailing Abra Electric Cooperative (Abreco) to immediately give way for its rehabilitation program after incurring over P200 million in debts.
NEA administrator Edgardo Masongsong said the agency took over the management and operations of the power EC and deactivated its current board of directors after the Philippine Electricity Market Corp. (PEMC) issued the Notice of Default and Notice of Suspension against Abreco due to its failure to pay over P200 million in power supply bills.
“With the recent development relative to the Notice of Default and Notice of Suspension issued by the PEMC, NEA is under obligation to take over the management and operations of Abreco to protect the welfare and interest of the electric cooperative and its member-consumer-owners (MCOs),” Masongsong said.
The NEA official issued an order last year creating the task force to take charge of the rehabilitation of Abreco.
Chaired by NEA deputy administrator for electric cooperative management services Goldelio Rivera, the task force will serve as an electric cooperative board of directors.
To supervise the management and operations of Abreco, NEA has designated lawyer Xerxes Adzuara as project supervisor; Charito Mabitazan as acting general manager to manage the dayto-day operations and ensure the efficient delivery of service to MCOs.
With the objective of re-engineering Abreco into an excellently performing distribution utility, the task force is expected to meet specific deliverables, which include conduct of election for a Board of Directors; selection and appointment of a regular general manager; establishment of a lean and mean organizational structure with competent workforce; come up with well-informed and participative member-consumers and stakeholders; plan and implement capital expenditures projects towards power reliability, system efficiency, and reduction of system losses; prevent power curtailment due to power shortages and outages; and achieve management and operational performance within the NEA parameters and standards.