The National Electrification Administration (NEA) said has extended over P700 million worth of loans to electric cooperatives (ECs) in 2019, surpassing its full-year target of P450 million.
The agency’s Accounts Management and Guarantee Department said P705 million was released to 31 ECs, bulk of which or P658.090 million went to bankroll their capital expenditure projects.
NEA said these projects included the construction of sub-transmission and distribution lines, substations, office buildings, rehabilitation and upgrade of distribution system and mini-hydro power plant, replacement of dilapidated poles and defective meters and acquisition of vehicles and other tools and equipment.
The Zamboanga del Norte Electric Cooperative Inc. availed the largest loan of P104.950 million, followed by Camarines Sur I Electric Cooperative Inc. (CASURECO I), P60.963 million, Central Pangasinan Electric Cooperative Inc., P45.651 million; Dinagat Island Electric Cooperative Inc., P45.298 million and; Sorsogon I Electric Cooperative Inc., P42.463 million.
A stand-by credit loan was granted to CASURECO I and Camarines Sur III Electric Cooperative Inc. for power accounts totalling P25 million to strengthen their creditworthiness with generation companies.
Sultan Kudarat Electric Cooperative Inc. secured P21.934 million for the procurement of modular generator sets.
A P10-million calamity loan was extended to Abra Electric Cooperative to rehabilitate the EC’s distribution facilities damaged by Typhoon Ompong.
The calamity loan being offered by the NEA has a 10-year repayment term with maximum grace period of one year and an interest rate of 3.25 percent per annum with an average processing time of seven days.
