Napocor earns P2.9 B in 2015

MANILA, Philippines -  The National Power Corp. (Napocor), posted a net income of P2.9 billion last year, reflecting a complete turnaround from years of losses.

Last year’s income was also significantly higher than the P1.5 billion income in 2014.

In 2010, Napocor struggled with a net loss of P2.78 billion.

Under the administration of Ma. Gladys Cruz-Sta. Rita, Napocor was able to transform its negative net retained earnings to positive for the first time in 2015.

In terms of efficiency, Napocor was able to reduce weekly power outages in areas not connected to the main grid as Sta. Rita pushed for the provision of spare parts and new generating sets as reserve capacities for missionary areas.

As such, tourist destinations now have a steady supply of electricity compared to before.

“We increased power supply to 24 hours from 16 hours of about 10 island tourist destinations like El Nido and Culion in Palawan and Polilio in Quezon” Sta. Rita said.

“We also provided electricity for the first time in 10 very small islands benefitting 7,655 households, like Naro Island in Masbate,” she said.

Sta. Rita implemented a leadership style that was open to listening and understanding stakeholders. 

“I believe that I need to gain insight into the human heart and genuine care for the people I work with,” she said.

But steering Napocor, once a bleeding corporation, to where it is now did not come easy.

Sta. Rita said at the time she came in, people believed Napocor was near its end.

But with tariff approvals and collection efficiency, Napocor’s finances significantly improved.

“We were able to raise the bar of collection efficiency to 98.4 percent in 2015 from 85.6 percent in 2012 in Luzon, Visayas, and Eastern Mindanao,” Sta. Rita said.

Sta. Rita is an economist and a local government expert. She is the author of a UP Centennial Book “Running A Bureaucracy.”