Power co-ops obtain P102-M loans in Q1

ELECTRIC cooperatives (ECs) nationwide took out over P102 million in loans in the first quarter of 2021, the National Electrification Administration (NEA) reported on Monday.

Latest data from the NEA Ac- counts Management and Guaran

tee Department (AMGD) showed that P102.4 million in loans, including calamity loans, were released to five ECs during the period.

Of the total amount, P59.5 million went to Davao del Norte Electric Cooperative, Inc. and the Camarines Sur III Electric Cooperative Inc. (Casureco III) for their capital expenditure (capex) projects and working capital requirements.

For 2021, the NEA has set a target of P500 million to support the funding requirements of the power co-ops in implementing their various rural electrification projects. The amount excludes calamity loans.

“Under the NEA Lending and Guarantee Program, our ECs may avail of the needed financial assistance for their electrification projects to improve the operational efficiencies and delivery of electric services to their consumers,” said NEA Administrator Edgardo Masongsong in a statement.

Meanwhile, the agency extended P42.9-million worth of calamity loans to four ECs, namely, Casureco III, Marinduque Electric Cooperative Inc., Oriental Mindoro Electric Cooperative Inc., and Quezon I Electric Cooperative Inc.

These ECs availed of the calamity loans for the repair and rehabilitation of their respective power distribution systems and other facilities that were damaged by typhoons Quinta, Rolly and Ulysses last year.

The calamity loan offered by the NEA has a maximum 10-year repayment term, with a grace period of one year and an interest rate of 3.25 percent per annum.