THE National Electrification Administration (NEA) gave at least 54 electric cooperatives (ECs) an AAA rating in terms of financial performance and account payables to the grid.
The AAA rating is the highest score given by the NEA to ECs.
The NEA used two rating criteria—Key Performance Standards (KPS) and Electric Cooperatives (EC) Classification—in rating the electric cooperatives.
The KPS cover 32 financial, institutional, technical, and reportorial compliance indicators and standards, while EC Classification covers seven financially driven standards and parameters, including accounts payables to the National Grid Corporation of the Philippines (NGCP).
All seven ECs in the Caraga Region got an AAA rating. These are the Agusan del Norte Electric Cooperative, Inc. (Aneco); Agusan del Sur Electric Cooperative, Inc. (Aselco); Surigao del Norte Electric Cooperative, Inc. (Surneco); Siargao Electric Cooperative, Inc. (Siarelco); Dinagat Island Electric Cooperative, Inc. (Dielco); Surigao del Sur I Electric Cooperative, Inc. (Surseco I); and Surigao del Sur II Electric Cooperative, Inc. (Surseco II).
NEA Administrator Edita S. Bueno commended the ECs, which garnered overall AAA performance.
“May you be continually inspired to be better operationally and more responsive to the needs of your member-consumers,” said Bueno.
Of the 54 ECs rated AAA, 19 scored 100 points. These are Tarelco II, Neeco I, Neeco II-Area 1, Neeco II- Area 2, Pelco I, Penelco, Ormeco, Ileco I, Ileco II, Cebeco I, Cebeco II, Cebeco III, Zamsureco I, Dasureco, Socoteco II, Aselco, Siarelco, Dielco, and Surseco I.
Meanwhile, 14 ECs were rated AA; 4 ECs, A; 13, B; 13,C; and 10, D.
Bueno said ECs registered with the Cooperative Development Authority (CDA) are not included in the evaluation and determination of overall performance ratings for 2014. She said this is to give them ample time to be fully integrated into the mainstream of ECs.
Albay Electric Cooperative, Inc. (Aleco) and Pampanga II Electric Cooperative, Inc. (Pelco II) were also excluded in the evaluation. This is to give the concessionaires of Aleco and the investor-manager of Pelco II an interim period within which to revitalize their respective operations. Both Aleco and Pelco II have entered into a private sector participation program.
The performance rating of the ECs may serve as basis for entitlements to the prescribed NEA Guidelines on Benefits, Allowances, and Incentives of EC Officials and Employees, which took effect on August 1, 2015.
NEA formulated the KPS pursuant to Republic Act No. 9136.
The performances of the ECs are measured by using financial, institutional and technical (FIT) performance indicators and standards.
The guidelines on KPS was approved by the NEA Board of Administrators on August 2011 under Board Resolution No. 27 and was implemented under Memorandum No. 2014-020 to the ECs dated August 31, 2011.
In response to RA 10531, NEA also formulated six financial and operational standards and parameters to assess the performance of ECs.
The Guidelines for the Classification of ECs were approved by the NEA Board on November 6, 2013 under Board Resolution No. 1 and were approved by the Department of Energy (DOE) on December 12, 2013.