NEA lends over P1 billion to power coops in 2023

MANILA, Philippines — Loans extended by the National Electrification Administration (NEA) to electric cooperatives nationwide exceeded the P1-billion mark in 2023.

NEA said it facilitated a total of P1.002 billion worth of loans to 28 electric cooperatives last year.

A total of 19 power cooperatives accessed loans for capital expenditures amounting to  P474.69 million.

These include electric cooperatives in Basilan, Bohol, Bukidnon, Camotes Islands, Davao del Sur, Iloilo, Laguna, Leyte, Misamis Oriental, Negros Occidental, Northern Samar, Quezon province, Siargao, Siasi, Sorsogon, South Cotabato, Surigao del Sur, Tawi-Tawi and Zamboanga del Norte.

NEA said loans used for working capital, meanwhile, reached P465 million.

These went to 11 electric cooperatives operating in Antique, Aurora, Batanes, Bohol, Camiguin, Central Pangasinan, Laguna, Lanao del Norte, Misamis Oriental, Negros Oriental and Zamboanga del Sur.

Further, NEA said a P12.85-million loan was extended to Misamis Oriental I Rural Electric Service Cooperative Inc. for its modular generator set, while a P50-million short-term credit facility was accessed by Lanao del Norte Electric Cooperative Inc.

NEA said the loans were processed using the funds earmarked for its enhanced lending program.

In 2022, NEA extended a total of P1.2 billion worth of loans to support the operations of 35 ECs.

Last year’s total loan amount exceeded NEA’s target of P700 million.

NEA is mandated to carry out the total electrification of the country on an area coverage basis, with the 121 ECs as the implementing arm.

It has committed to achieving total electrification of the country by 2028, which President Marcos has vowed to push within his term.