The National Electrification Administration (NEA; fil, Pambansang Pangasiwaan ng Elektripikasyon) is a
government-owned and controlled corporation
In the Philippines, a government-owned and controlled corporation (GOCC), sometimes with an "and/or", is a state-owned enterprise that conducts both commercial and non-commercial activity. Examples of the latter would be the Government Service In ...
(GOCC) attached to the
Department of Energy A Ministry of Energy or Department of Energy is a government department in some countries that typically oversees the production of fuel and electricity; in the United States, however, it manages nuclear weapons development and conducts energy-rel ...
of the
Philippines
The Philippines (; fil, Pilipinas, links=no), officially the Republic of the Philippines ( fil, Republika ng Pilipinas, links=no),
* bik, Republika kan Filipinas
* ceb, Republika sa Pilipinas
* cbk, República de Filipinas
* hil, Republ ...
tasked in the full implementation of the rural electrification program (REP) and reinforce the technical capability and financial viability of the 121 rural electric cooperatives (ECs).
Formerly located at the D&E and CDC Buildings, 1050 Quezon Avenue, Paligsahan, their office is now inside
Triangle Park
Triangle Park, also known as the Quezon City Central Business District, is a central business district in Quezon City, Philippines. It is organized around five districts namely: Commons, Downtown Hub, Emporium, Residences at Veterans and Tria ...
at the National Government Center in
Quezon City
Quezon City (, ; fil, Lungsod Quezon ), also known as the City of Quezon and Q.C. (read in Filipino as Kyusi), is the List of cities in the Philippines, most populous city in the Philippines. According to the 2020 census, it has a populatio ...
.
History
General Pedro Gallarza Diaz Dumol is considered to be the "Father of Rural Electrification (in the Philippines)" when approximately 2,700,000 connections had been made from zero when he moved in as chief of the National Electrification Administration until his retirement in 1986.
One of the thrusts of the previous NEA leadership is to intensify the implementation of the Sitio Electrification Program (SEP) Phase 2 and the Barangay Line Enhancement Program (BLEP).
Creation
The ''Electrification Administration'' was initially created and established through
Republic Act
This article contains a partial list of Philippine laws.
Sources of Philippine laws
;Notes
: *Customs may be considered as supplementary source of law, however, customs which are contrary to law, public order or public policy shall not be ...
2717 without
Executive
Executive ( exe., exec., execu.) may refer to:
Role or title
* Executive, a senior management role in an organization
** Chief executive officer (CEO), one of the highest-ranking corporate officers (executives) or administrators
** Executive dir ...
approval on June 19, 1960, in order to promote and accelerate the agricultural and industrial development of the
Philippines
The Philippines (; fil, Pilipinas, links=no), officially the Republic of the Philippines ( fil, Republika ng Pilipinas, links=no),
* bik, Republika kan Filipinas
* ceb, Republika sa Pilipinas
* cbk, República de Filipinas
* hil, Republ ...
. The agency was headed by an Administrator (appointed by the
President
President most commonly refers to:
*President (corporate title)
*President (education), a leader of a college or university
*President (government title)
President may also refer to:
Automobiles
* Nissan President, a 1966–2010 Japanese ful ...
with the consent of the ''COA'' or Commission of Appointments) for a term of ten (10) years, and two (2) Deputy Administrators.
The agency maintains a revolving fund consisting of
₱5 million appropriated annually starting fiscal year 1961 until 1965, other fund or assets received from or out of
Japan
Japan ( ja, 日本, or , and formally , ''Nihonkoku'') is an island country in East Asia. It is situated in the northwest Pacific Ocean, and is bordered on the west by the Sea of Japan, while extending from the Sea of Okhotsk in the north ...
ese
reparations
Reparation(s) may refer to:
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* Restitution (theology), the Christian doctrine calling for reparation
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History
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**World War I reparations, made from G ...
and loans obtained under the same. Out of this fund, the Administration was authorized and empowered to make loans to local governments, electric consumers cooperative associations and
Filipino
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electric franchise holders for the purpose of financing the construction and operation of generating plants, electric transmission and distribution lines or systems for the furnishing of electric energy, particularly in remote areas.
Reorganization of Electrification Administration and Electric Cooperatives (ECs)
Nine (9) years after the creation of Electrification Administration, a National or
State
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* ''The State'' (newspaper), a daily newspaper in Columbia, South Carolina, United States
* ''Our S ...
policy of total electrification on an area coverage service basis was declared through
Republic Act
This article contains a partial list of Philippine laws.
Sources of Philippine laws
;Notes
: *Customs may be considered as supplementary source of law, however, customs which are contrary to law, public order or public policy shall not be ...
6038 approved on July 28, 1969, and signed by then
President
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*President (corporate title)
*President (education), a leader of a college or university
*President (government title)
President may also refer to:
Automobiles
* Nissan President, a 1966–2010 Japanese ful ...
Ferdinand Marcos
Ferdinand Emmanuel Edralin Marcos Sr. ( , , ; September 11, 1917 – September 28, 1989) was a Filipino politician, lawyer, dictator, and kleptocrat who was the 10th president of the Philippines from 1965 to 1986. He ruled under martial ...
, including Presidential Decree No. 40 and Letter of Instruction No. 38, dated November 7, 1972, effectively repealing
Republic Act
This article contains a partial list of Philippine laws.
Sources of Philippine laws
;Notes
: *Customs may be considered as supplementary source of law, however, customs which are contrary to law, public order or public policy shall not be ...
2717.
The Board of Administrators were introduced in the agency, which shall be composed of a Chairman and four (4) members, one of whom shall be the Administrator as Ex-officio Member of the Board and Chief Executive Officer (CEO) of NEA.
General Pedro Gallarza Diaz Dumol became the Administrator after being offered the post by then Executive Secretary Alejandro Melchor.
Chapter III of this law also called for the organization, promotion and development of cooperative non-stock, non-profit membership corporations and electric cooperative corporations (ECs) formed or registered under
Republic Act
This article contains a partial list of Philippine laws.
Sources of Philippine laws
;Notes
: *Customs may be considered as supplementary source of law, however, customs which are contrary to law, public order or public policy shall not be ...
2023 or the ''Non-Agricultural Co-operative Act'' for the distribution of power in the countryside.
Additional appropriations to the revolving fund consisted of
₱20 million (but not limited as to the amount
Congress
A congress is a formal meeting of the representatives of different countries, constituent states, organizations, trade unions, political parties, or other groups. The term originated in Late Middle English to denote an encounter (meeting of ...
may further appropriate) annually starting fiscal year 1970 until 1979, proceeds to the share of the National Government in all franchise taxes paid by electric service entities, and continuing funds or physical assets received from or out of Japanese reparations.
NEA Decree and Franchising Powers
On August 6, 1973, the National Electrification Administration through
Presidential Decree No. 269 was converted into a corporation, wholly owned and controlled by the
Philippine government
The Government of the Philippines ( fil, Pamahalaan ng Pilipinas) has three interdependent branches: the legislative, executive, and judicial branches. The Philippines is governed as a unitary state under a presidential representative and d ...
under the supervision of the
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* Office of the President of Brazil
* Office of the President of the People's Republic of China (entity in the Office of the General Secretary of the Chinese Communist Party)
* Office of the President (Republi ...
. Possessed with borrowing authority and corporate powers, the authorized capital stock of NEA was pegged at
₱1 billion divided into ten (10) million shares having a par value of one hundred (
₱100) pesos each. Six (6) years later,
Presidential Decree No. 1645 increased the authorized capital stock by
₱4 billion with an additional forty (40) million shares.
Sections 42 and 43, Chapter IV of the NEA decree effectively repealed the power to grant "electric system" franchises from the Municipal, City and Provincial Governments in favor of the NEA. As such, the corporation will also receive from Electric Cooperatives (ECs) all articles of incorporation, amendments, consolidation, merger, conversion and dissolution, and all certificates of changes in the location of principal offices and of elections to dissolve.
The composition of the Board of Administrators (BOA) was retained, composed of a Chairman and four (4) members appointed by the
President
President most commonly refers to:
*President (corporate title)
*President (education), a leader of a college or university
*President (government title)
President may also refer to:
Automobiles
* Nissan President, a 1966–2010 Japanese ful ...
, one of whom shall be the Administrator as Ex-officio Member of the Board with a term of six (6) years. The BOA shall administer, acting as a Commission, all the provisions found on Chapter IV of the NEA decree.
Electric Power Industry Reform Act of 2001 (EPIRA)
Republic Act
This article contains a partial list of Philippine laws.
Sources of Philippine laws
;Notes
: *Customs may be considered as supplementary source of law, however, customs which are contrary to law, public order or public policy shall not be ...
9136 or the “Electric Power Industry Reform Act of 2001” (EPIRA) effectively condoned all outstanding financial obligations of Electric Cooperatives (ECs) to NEA and other government agencies (incurred for the purpose of financing the Rural Electrification program
EP and was assumed by the Power Sector Assets and Liabilities Management Corporation (PSALM).
Then
President
President most commonly refers to:
*President (corporate title)
*President (education), a leader of a college or university
*President (government title)
President may also refer to:
Automobiles
* Nissan President, a 1966–2010 Japanese ful ...
Gloria Macapagal Arroyo
Maria Gloria Macaraeg Macapagal Arroyo (, born April 5, 1947), often referred to by her initials GMA, is a Filipino academic and politician serving as one of the House Deputy Speakers since 2022, and previously from 2016 to 2017. She previously ...
also issued Executive Order 119 ordering the reorganization of NEA to bring down the power rates considerably. The reorganization was approved and implemented by the
Department of Energy (DOE) and Department of Budget and Management (DBM).
Electric Cooperatives (ECs) between NEA and CDA
The enactment of
Republic Act
This article contains a partial list of Philippine laws.
Sources of Philippine laws
;Notes
: *Customs may be considered as supplementary source of law, however, customs which are contrary to law, public order or public policy shall not be ...
6939 creating the Cooperative Development Authority (CDA) as amended by
Republic Act
This article contains a partial list of Philippine laws.
Sources of Philippine laws
;Notes
: *Customs may be considered as supplementary source of law, however, customs which are contrary to law, public order or public policy shall not be ...
9520 or the ''Philippine Cooperative Code of 2008'' may have allowed Electric Cooperatives (ECs) to qualify for certain tax exemptions or pay lower taxes but also raised questions on NEA's jurisdiction over ECs.
Arguments raised as follows:
1) The ECs don't have autonomy and independence and democratic control of member-consumers because NEA appoints the General Manager who may ignore policy decisions of the General Assembly-elected members of the Board of Directors.
2) The transfer of all outstanding obligations of ECs from NEA to PSALM through the EPIRA law extinguished the basis of the regulatory and supervisory powers of NEA, i.e. loans previously extended.
National Electrification Administration Reform Act of 2013 and the Electric Cooperatives (ECs)
When
Republic Act
This article contains a partial list of Philippine laws.
Sources of Philippine laws
;Notes
: *Customs may be considered as supplementary source of law, however, customs which are contrary to law, public order or public policy shall not be ...
10531 was enacted on February 4, 2013, it declared a threefold National or
State
State may refer to:
Arts, entertainment, and media Literature
* ''State Magazine'', a monthly magazine published by the U.S. Department of State
* ''The State'' (newspaper), a daily newspaper in Columbia, South Carolina, United States
* ''Our S ...
policy: First, to empower and strengthen the NEA; Second, to empower and enable Electric Cooperatives (ECs) to cope with the changes brought about by the EPIRA law; and Third, to promote the sustainable development in the rural areas through rural electrification.
This law may as well be considered as curative statute that is intended to address the impact of a restructured electric power industry under the EPIRA on Electric Cooperatives (ECs), which has not been fully addressed by the Philippine Cooperative Code of 2008.
From Administration to Authority
In some June 2017 newspaper articles, then Administrator Masongsong was quoted as saying there's a move to amend the NEA Charter to allow it to regulate Electric Cooperatives (ECs) aside from monitoring and supervision, to be unofficially named National Electrification Authority. The policy change seeks to allow NEA to propose policies and legislation to improve the power industry and expand the NEA's mandate to cover other electricity distribution utilities like private investors owned utilities and
private distribution utilities.
Electrification
Electrification, one of the several form of energization, refers to the ratio of entities with active electric connection within a category (e.g. cities, barangays, sitios, puroks, households, etc) out of the total number of entities within that category. For example, all of the 1,475 cities have electricity connection to at least one house or business, thus each city is electrified, i.e. 100% electrification ratio at city level.
New power connections as of June 30, 2018.
Organization
List of board of administrators
List of NEA administrators
List of deputy administrators
See also
*
Department of Energy (Philippines)
The Department of Energy ( fil, Kagawaran ng Enerhiya}, abbreviated as DOE) is the executive department of the Philippine government responsible for preparing, integrating, manipulating, organizing, coordinating, supervising, and controlling al ...
*
Electricity sector in the Philippines
The electricity sector in the Philippines provides electricity through power generation, transmission, and distribution to many parts of the Philippines. The Philippines is divided into three electrical grids, one each for Luzon, the Visayas ...
*
Energy in the Philippines
The total primary energy consumption of the Philippines in 2012 was 30.2 Mtoe (million Tonnes of oil equivalent), most of which came from fossil fuels. Electricity consumption in 2010 was 64.52 TWh, of which almost two-thirds came from fossil f ...
*
Geothermal power in the Philippines
The Philippines is one of the world's top producers of geothermal power, owing to its location along the Ring of Fire zone of Pacific volcanoes. The country commissioned the 12-megawatt Maibarara Geothermal Power Plant-2 on March 9, 2018, in S ...
*
Government of the Philippines
The Government of the Philippines ( fil, Pamahalaan ng Pilipinas) has three interdependent branches: the legislative, executive, and judicial branches. The Philippines is governed as a unitary state under a presidential representative and d ...
*
List of utility cooperatives
This is a list of utility cooperatives.
Canada
Energy
* Ag Energy Co-operative
* Blue Mountain Power Co-op
* Lac La Biche Gas Co-Op
* SPARK: Green Energy Alberta
Telecommunications
* Access Communications Co-operative (Saskatchewan)
* ...
*
National Grid Corporation of the Philippines
The National Grid Corporation of the Philippines (NGCP) is a privately owned corporation that was created on January 15, 2009, through RA 9511. It is a consortium of three corporations, namely Monte Oro Grid Resources Corporation, Calaca High Po ...
*
National Power Corporation
The National Power Corporation ( fil, Pambansang Korporasyon sa Elektrisidad, also known as Napocor, NPC or National Power), is a Philippine government-owned and controlled corporation that is mandated to provide electricity to all rural areas o ...
*
National Transmission Corporation
The National Transmission Corporation (TransCo) is a Philippine government-owned and controlled corporation created in 2001 by the Electric Power Industry Reform Act (Republic Act 9136) and a corporate entity wholly owned by the Power Sector Ass ...
*
Renewable energy in the Philippines
In 2013, renewable energy provided 26.44% of the total electricity in the Philippines and 19,903 gigawatt-hours (GWh) of electrical energy out of a total demand of 75,266 gigawatt-hours.Membrere L"2013 Philippine power statistics" Accessed 8 Apri ...
*
Wind power in the Philippines
Wind power in the Philippines accounts for a total of 443MW as of 2020 according to the Department of Energy, covering about 1.6% of the country's total installed capacity for both renewable and non-renewable energy sources. When it comes to exis ...
References
External links
{{authority control
Government-owned and controlled corporations of the Philippines
Government agencies of the Philippines
Department of Energy (Philippines)
Electric cooperatives of the Philippines
Electric power companies of the Philippines
Companies based in Quezon City
Rural electrification