NEA restrains electric cooperatives’ activities

Published December 9, 2021, 12:32 PM

by Myrna M. Velasco

The National Electrification Administration (NEA) is rigidly restraining the participation of electric cooperatives (ECs) to events or activities that are beyond their mandate, which is to provide electricity to consumers.

This was contained in a memorandum issued on Nov. 22 this year was signed by Emmanuel P. Juaneza, the newly designated administrator of the NEA, the government agency supervising the ECs. Based on the memo, any violations shall be sanctioned accordingly.

The NEA had apprised the power utilities that if they or their officers will join activities or undertakings “not relevant to the functions of the EC and/or which do not redound to the advancement of the EC or its officers, employees and other personnel,” these shall be “construed to be conduct prejudicial to the best interest of the EC and its member-consumer-owners.”

For failing to comply with that mandate of the electrification agency, it noted that apprehended ECs shall be subject to NEA administrative investigations and disciplinary actions.

The NEA memorandum stipulated that if the activities will be considered necessary, incidental or appropriate and in line with the ECs’ functions and provision of service, then they must first furnish NEA the required information so the government-run electrification agency can be guided on the conduct of such endeavors.

To ensure ECs do not engage in activities outside of their mandate, NEA requires ECs to list “all of its activities to be conducted or to be participated in – including those that are already calendared or commenced prior to the effectivity of the memorandum.”

The roll of activities that may be allowed, under the guidelines, could include: seminars, training and other similar or related activities; out-of-town trips – “whether for purposes of educational, professional and/or technical development.”

The electrification agency further noted that “all activities to be conducted or to be participated in by the EC shall be for the purpose of developing, advancing or enhancing the EC and/or its officers and employees’ welfare and proficiency.”

NEA similarly stated that “the ECs’ facilities, equipment and resources, including the services of its officers, employees and other personnel shall be used exclusively for the EC operations and activities.”

The ECs were further instructed “to refrain from allowing (their) facilities, equipment and resources from being used in any way that are not relevant to the purpose for which the EC was organized.”

 
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