Connect with us

Hi, what are you looking for?

Economy

Electric cooperatives borrow P439.98M in 2020

TWENTY electric cooperatives (ECs) borrowed P439.98 million from the National Electrification Administration (NEA) in 2020, the bulk of which went to funding the distribution utilities’ capital expenditures and working capital needs, the NEA said Sunday.

The NEA, which oversees the rural electrification program, provides financial assistance to ECs through its enhanced lending program.

In a statement, the NEA said that P311.90 million went to 12 ECs.

The remainder, P128.08 million, was handed out as calamity loans. Around P25 million went to First Catanduanes Electric Cooperative, Inc. or Ficelco to help rehabilitate its power distribution facilities, which were damaged by typhoons Quinta (international name: Molave) and Rolly (international name: Goni).

“The calamity loan, which bears an interest rate of 3.25% per annum, has a 10-year repayment term and one-year grace period,” the NEA said.

The totals were provided by the NEA Accounts Management and Guarantee Department.

The amount exceeds NEA’s 2020 lending target of P245 million. “The P311.903 million translates into (a) 127% accomplishment rate,” the NEA said.

On its website, the NEA said it has 14 financing options in its enhanced lending program for ECs. Some of these include regular calamity and concessional loans, equity financing schemes for ECs, and subsidy releases.

Last month, the NEA reported that over 12,000 rural sitios still did not have access to electricity. NEA Administrator Edgardo R. Masongsong has said the agency needs additional funding for the sitio electrification program, which he described as “crucial for socioeconomic development.” — Angelica Y. Yang

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Get the daily email that makes reading the news actually enjoyable. Stay informed and entertained, for free.
Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

Latest

Economy

REPORTS of significant attacks against two Russian air bases are a new and dangerous twist in the Ukraine war. One of the explosions was...

Economy

The COVID-19 pandemic dealt a blow to the Philippine economy and exposed many gaps and weaknesses in our system that had been present for...

Economy

In 2016, several art scholars and museums embarked on a project to digitally produce 17th century artist Rembrandt’s next work, by using a computer...

Economy

Southeast Asia is adjusting to a new normal with the welcome return of travel and in-person gatherings, be it at work, with family and...

Economy

SINGAPORE — Jollibee Foods Corp, the biggest fast-food operator in the Philippines, is in advanced discussions to sell a minority stake in its Vietnamese...

Economy

INDONESIAN lawmakers have passed a contentious criminal code that outlaws extramarital sex and raises penalties on abortions as part of legislation that sparked violent...

You May Also Like

Investing

The minute that any question pops into your head, you can simply ask Google. No longer do we have to pour over books and...

Investing

Having a good Instagram marketing agency to back up your Instagram account is an absolute must going into the new year. With competition stronger...

Investing

Browsing history makes referring to sites and pages you’ve visited in the past seamless. It’ll help you recall what page you checked out on...

Investing

Insomnia is the most common sleep disorder in the global population. Therefore, it is a problem that many people suffer or have suffered throughout...

Disclaimer: SmartRetirementReport.com, its managers, its employees, and assigns (collectively "The Company") do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2021 SmartRetirementReport. All Rights Reserved.