|
By Euan Paulo C. Añonuevo, Reporter
STATE-RUN National Electrification
Administration (NEA) has allocated a multimillion-peso electricity
subsidy for poor households in provinces across the country.
The agency’s power subsidy, which amounts to
over P420 million, will benefit less than a million lifeline
customers of 26 electric cooperatives in seven regions nationwide.
The program, in partnership the said
cooperatives and the Department of Social Welfare and Development (DSWD),
involves the granting of a one-time cash subsidy amounting to P500
for electricity customers consuming 100 kilowatt-hours and below per
month.
The government implemented the same program for
small customers in Manila Electric Co.’s franchise area.
Edita S. Bueno, NEA administrator, said the
subsidy aims to aid the poorest of the poor in paying their
electricity bills in view of the persistent increase in fuel and
electricity prices.
DSWD is obliged to transfer the amount that will
cover the P500 subsidy for each of the lifeline consumers within the
coverage areas of the cooperatives, provide NEA with the
implementing guidelines, conduct an information campaign and
coordinate with local governments and other agencies in the
implementation of the program.
NEA’s obligations will cover fund
administration, monitoring of project implementation by the
cooperatives, regular coordination and reporting to the DSWD on
status of project and disbursement of funds, and submission of
report upon completion of the program in accordance with Commission
on Audit rules and procedures.
Govt steps in right direction
Nikhilesh Bhattacharyya, associate economist at
Moody’s Economy.com, said the Philippines’ demand-side measures
are “a step in the right direction.” He cited the cash
reimbursement scheme for low-energy user households, which
encourages households to conserve energy.
Bhattacharyya said Asian economies like the
Philippines need “longer-term solutions, based on providing
incentives to innovate and conserve energy, to transition Asian
economies away from their dependence on oil.”
The economist cited the Philippine
legislature’s move to extend incentives for investments in
long-term solutions to the country’s energy crisis.
“While it may have taken nearly two decades,
last month the Philippines’ legislature finally passed a renewable
energies bill, which will provide financial incentives for the
private sector to invest in developing sustainable energy
infrastructure. The bill will also see government departments
coordinate so as to integrate new and existing renewable energy
sources to the 
|
