archipelagic geography poses a big challenge to power distribution.
Insufficient power supply across the Philippines and the high cost of acquiring electricity are critical issues that prevent the country from achieving an inclusive economy.
Its archipelagic geography poses a big challenge to power distribution. Some gifted provinces host power plants that meet their electricity demand. But for those provinces with no natural energy resource, electricity is one scarce commodity.
An island province, for instance, will have to purchase electricity from its nearest neighbor island that produces power. Here lies the problem—the higher cost of distribution is added to the price of electricity for the importing island.
Installing diesel- or oil-fired generators on hard-luck islands is an alternative. The cost of electricity, however, will not come cheap. The cost of generating electricity from renewable sources like geothermal and hydro is far cheaper than the power produced from fossil thermal plants.
The reliability of supply is another problem. Many electric cooperatives or distribution utilities are undercapitalized. Their poor finances and mismanagement lead to inefficiency that, in turn, aggravates chronic brownouts.
The recent publicity surrounding the power distribution problem in Siquijor Island is a classic example of what is bedeviling non-urban centers in the Philippines.
But the incessant outages that seriously undermine social and economic growth is not isolated in Siquijor.
Energy consumer advocacy group ILAW (Inisyatibo para sa Likas-yaman, Abot-kaya, at Wasto na Enerhiya) says other provinces are similarly groping in the dark, among them Davao del Norte and Davao de Oro provinces, Palawan, Mindoro Oriental and Mindoro Occidental, Albay, Basilan and parts of Northern Samar.
Hundreds of thousands of households and businesses in the twin Davao provinces, along with Tagum City and the Island Garden City of Samal, have yet to experience the advantages of Republic Act 12144, which lapsed into law on April 6.
RA 12144 empowered the Davao Light and Power Co. to expand its franchise areas to towns in Davao del Oro and Davao del Norte, along with Tagum and Samal currently being served by Northern Davao Electric Cooperative Inc. (Nordeco).
Davao Light, however, has yet to exercise its full authority as mandated by RA 12144. Nordeco is insisting the new law violated its property rights as guaranteed by the Constitution.
Nordeco argued that RA 12144 “directly affects” its contractual obligations to its clients, which was reinforced by the Electric Power Industry Reform Act and RA No. 10531, or the National Electrification Administration Reform Act.
The cooperative, though, is silent on allegations that its poor performance as a power utility inflicted untold losses and frustrations among its customers that led to the crafting of the Davao Light bill.
Honest and fair advocacy
The high cost of electricity has spawned several advocacy groups demanding lower rates and accountability.
But one major power distributor is calling for fairness and wants to verify the legitimacy of some cause-oriented and consumer groups.
“It is extremely easy to organize a group for a common cause and to misrepresent that group in the guise of advocacy,” says an official of one electricity distributor.
He cited the case of National Association of Electricity Consumers for Reforms Inc. (Nasecore), a consumer group that claims it is after the interest of electricity consumers across the country but clearly targets only one particular company.
Nasecore often speaks out against Manila Electric Co. (Meralco), the power distributor in Metro Manila and nearby provinces, but conveniently overlooks pressing and widespread power issues in other parts of the country.
Provinces like Siquijor, Albay, Palawan and parts of Mindoro are suffering from serious and longstanding power problems—chronic brownouts, mismanaged electric cooperatives and sky-high power rates. Yet, Nasecore has not taken up the cudgels for consumers in these areas.
If Nasecore is truly looking out for the Filipino electricity consumers, it should be the first group to speak out for the underserved and long-neglected communities in these areas.
The official noted that while Nasecor brands itself as a consumer reform group, “its nonchalance to consumer issues in the provinces, lack of transparency and dubious historical affiliations suggest that it may be advancing a selective and possibly politically motivated agenda.”
The concerned official is beginning to doubt Nasecore’s advocacy, questioning its membership and funding source as an organization.
A check with the Securities and Exchange Commission (SEC) showed that it last submitted its Audited Financial Statements (AFS) and General Information Statements (GIS) in 2020.
The Revised Corporation Code classifies an entity delinquent if it fails to submit its GIS and/or AFS three times within any five-year period.
President Ferdinand Marcos Jr. is aware of the power supply situation in the Philippines after citing the case of Siquijor Island. And Nasecore as an advocacy group should also attend to the problems besetting consumers outside of Metro Manila.
In a sector where consumers deserve honest and broad-based advocacy, groups like Nasecore must also be held accountable.
E-mail: rayenano@yahoo.com or extrastory2000@gmail.com
