Akelco brings down systems loss to 12.46%

Energy Secretary Vincent S. Perez hailed Aklan Electric Cooperative’s (Akelco) effort to dramatically reduce a systems loss from its record high of 23 percent in 2001 to 12.46 percent in February 2004.

Perez said the reduction in system loss has allowed Akelco to pay most of its debts to the National Power Corp. (Napocor).

In March 2002, Napocor disconnected power service in Aklan for two days because of the electric cooperative’s failure to pay up obligations amounting to P153 million. This also prompted the National Electrification Administration (NEA) to temporarily take over its operations due to mismanagement and widespread corruption.

The better performance of Akelco was a result of the change in the electric cooperative’s management.

The energy chief noted that the new management under general manager Erico Bucoy was able to significantly reduce the systems loss to 14.97 percent in June 2003 and to 14.93 percent in December 2003.

Perez, who is also NEA chairman, said Akelco’s outstanding performance showed strong resolve between government and private sector to weed out corruption in the government’s rural electrification program as well as provide electric consumers with quality service.

Akelco is the major power distributor in Aklan province which includes the famous Boracay Island Resort and in the municipalities of Libertad and Pandan in Antique.

"With the support of the government and the right management, we are able to recover. We are very thankful for the help given to us by NEA, DOE and the Napocor because we are able now to serve our customers better and respond to their needs efficiently," Bucoy said.

Bucoy said with the reduction of systems losses Akelco has been able to reverse its losses and increased its current collection efficiency to 95 percent.