NEA surpasses collection target in 2019

MANILA, Philippines — State-run National Electrification Administration (NEA) has collected a total of P2.3 billion, surpassing its collection target of P1.96 billion last year.

NEA finance services department acting director Milagros Robles attributed the improvement in collection performance to the increase in advance payment of amortizations and outstanding loans of electric cooperatives (ECs).

“The early payment of outstanding loans by some ECs amounting to P94.35 million and increase in advance payment made by ECs of P283 million contributed to the attainment of high collection efficiency,” Robles said.

Of the 121 ECs, the top five highest-paying last year were Occidental Mindoro Electric Cooperative Inc., Nueva Ecija II Electric Cooperative Inc. - Area 2, Misamis Oriental II Rural Electric Cooperative,  Central Pangasinan Electric Cooperative and First Laguna Electric Cooperative.

NEA has been offering financial assistance to the ECs, through various loan windows, to bankroll their various capital expenditure projects and rehabilitation of power distribution systems damaged by calamities. 

The agency’s lending program includes regular, calamity and concessional loans, stand-by and short-term credit loans, single-digit system loss loan, renewable energy loan, and modular generator sets loan.

The short-term credit facility is intended to finance the EC’s monthly shortfall in settling their power accounts with the generation companies and the National Grid Corp. of the Philippines.

The stand-by credit facility, on the other hand, is meant to strengthen the EC’s creditworthiness with the generation companies and the electricity market operator.