Since its creation in 1969 the National Electrification Administration (NEA) has brought light to the of homes of Filipinos across the country. The NEA, together with the Electric Cooperatives, have been at the forefront of ushering progress by providing electricity to both households and industries. The Agency is committed to not only energizing homes, but also to transforming lives, empowering communities, and maintaining progress across our Nation. The NEA strives to attain the goal of our President Ferdinand ‘’Bongbong’’ Romualdez Marcos, Jr. of Total Electrification by the year 2028. Under the current leadership of Administrator Antonio Mariano Almeda, the NEA has embarked on a series of strategic initiatives during the first half of 2024 for this purpose.

NEA has partnered with the Maharlika Investment Corporation (MIC) to address the long-standing power supply issues on the island provinces of Palawan, Oriental and Occidental Mindoro. This collaboration aims to finance key energy distribution infrastructure development projects to address the recurring power crisis in the said provinces due to supply shortages.

The NEA has also teamed up with the Department of Science and Technology (DOST) and the Association of Isolated Electric Cooperatives, Inc. (AIEC) to develop a Supervisory Control and Data Acquisition (SCADA) system for the association’s member electric cooperatives. This system will optimize power distribution, ensuring efficient and reliable service in the EC franchise areas. The collaboration includes technical support and data sharing to integrate the SCADA system with the NEA’s Digital Dashboard Command Center (DDCC), a flagship project under Administrator Almeda.

Furthering its electrification agenda, NEA has partnered with the Philippine Space Agency (PhilSA) and the University of the Philippines (UP) to leverage satellite technology and geographical information systems (GIS) in order to better identify unserved areas. These technologies will enhance NEA’s ability to plan and execute electrification projects effectively.

NEA has also been proactive in addressing the financial challenges faced by electric cooperatives. In a summit with the Land Bank of the Philippines (LBP), NEA discussed the “Anti-Bill Shock” lending program, designed to help cooperatives manage high electricity bills for the benefit of their member-consumer-owners and improve their financial stability.

NEA’s efforts in terms of financial management have been recognized by the Department of Finance (DOF) during the 2024 Government-Owned or -Controlled Corporations (GOCC) Day. NEA remitted over P43 million in dividends to the national government, contributing to the country’s nontax revenues. This acknowledgment reflects the state-owned corporation’s commitment to improve services and support national development goals.

The NEA through its lending program has extended a total of PhP873.31 Million worth of loans to 21 electric cooperatives (ECs) as of 30 June 2024. These loans are extended to ECs to facilitate their CAPEX, working capital, and calamity rehabilitation.

A symbolic switch-on ceremony in honor of the 16-millionth household consumer connection under the franchise area of Oriental Mindoro Electric Cooperative, Inc. (ORMECO) was also held during the anniversary celebration. The 16-millionth connection beneficiary, Lin-ay Sabado, a 35-year-old bead worker, a mother of two, and a member of the Mangyan tribe, was present at the switch-on ceremony.

On its 55th founding anniversary this August, the NEA will celebrate its achievements in the past years with events, programs, and exhibitions. This year’s celebration will carry the theme: ECs Keep the Lights On”.

The Philippine National Electrification Administration (NEA) is a government agency responsible for promoting and overseeing the electrification of rural areas in the Philippines.

Established in 1969 by Republic Act No. 6038, NEA’s primary goal is to ensure that electricity is made available to all Filipinos, particularly in rural and remote areas that are not serviced by private power companies.

Key Functions and Mandates

1. Rural Electrification: NEA’s primary mission is to promote the electrification of rural areas across the Philippines. It provides technical, financial, and institutional support to electric cooperatives (ECs) that distribute electricity in these regions.

2. Support for Electric Cooperatives: NEA supervises and assists electric cooperatives, which are the main entities responsible for distributing electricity in rural areas. This includes providing loans, subsidies, and technical expertise to ensure that these cooperatives can operate efficiently and sustainably.

3. Policy and Regulation: NEA also plays a regulatory role, ensuring that electric cooperatives comply with government policies and standards. It sets guidelines and benchmarks for service delivery, financial management, and governance among the cooperatives.

4. Electrification Programs: The agency implements various electrification programs, such as the Sitio Electrification Program (SEP) and the Barangay Line Enhancement Program (BLEP), aimed at extending electricity to the most remote and underserved communities in the Philippines.

5. Crisis Management and Rehabilitation: In cases where electric cooperatives face financial difficulties or operational challenges, NEA steps in to help rehabilitate and manage these cooperatives to restore their viability and ensure continuous service to their member-consumers.

NEA Quick Facts:
Achievements and Impact

• Electrification Rate: NEA has played a pivotal role in increasing the electrification rate in the Philippines. From a modest start in the 1970s, the agency has helped achieve a high electrification rate, with over 90 percent of households in the country now having access to electricity.

• Support to Electric Cooperatives: NEA has been instrumental in strengthening electric cooperatives, many of which have become financially stable and operationally efficient due to the agency’s support.

• Financial Sustainability: Many electric cooperatives face financial challenges due to a variety of factors, including high operational costs, unpaid debts, and the need for infrastructure upgrades. NEA’s role in providing financial assistance and rehabilitation is crucial in addressing these issues.

• Universal Electrification: While NEA has made significant progress, some remote and isolated areas in the Philippines still lack access to electricity. Extending services to these areas remains a challenge due to geographical and logistical constraints.

• Rehabilitation Efforts: In recent years, NEA has been active in rehabilitating ailing electric cooperatives, especially in areas affected by natural disasters and conflicts.

• Renewable Energy Integration: NEA is also focusing on integrating renewable energy sources into the rural electrification program, in line with the country’s commitment to sustainable development and reducing carbon emissions.

Profile

Antonio Mariano C. Almeda is the current Administrator of the Philippine National Electrification Administration (NEA). He is tasked with leading the agency in its mission to promote rural electrification across the Philippines. Under his leadership, NEA has continued to focus on improving the operations of electric cooperatives, ensuring they are efficient, reliable, and competitive.

Almeda’s tenure has been marked by significant efforts to extend financial support to these cooperatives, particularly for capital expenditure projects that are essential to improving the infrastructure needed to deliver electricity to rural and underserved areas. By mid-2024, NEA had extended over P873.31 million in loans to various electric cooperatives under his administration.