Loans extended by state-run National Electrification Administration (NEA) to electric cooperatives (ECs) reached P102 million in the first quarter of 2021.
Latest data from the NEA Accounts Management and Guarantee Department (AMGD) showed that from January to March this year, P102.4 million in loans, including calamity loans, were released to five ECs.
These ECs availed of the calamity loans for the repair and rehabilitation of their respective power distribution systems and other facilities that were damaged by typhoons Quinta, Rolly, and Ulysses last year.
A big share of the loans, or P59.5 million, went to Davao del Norte Electric Cooperative, Inc. (DANECO) and the Camarines Sur III Electric Cooperative, Inc. (CASURECO III) for their capital expenditure (CapEx) projects and working capital requirements.
For 2021, the NEA has set a target of P500 million to support the funding requirements of the electric co-ops in implementing their various rural electrification projects. The amount does not include calamity loans.
“Under the NEA Lending and Guarantee Program, our ECs may avail of the needed financial assistance for their electrification projects to improve the operational efficiencies and delivery of electric services to their consumers,” Administrator Edgardo Masongsong said.
Meanwhile, the NEA extended P42.9-million worth of calamity loans to four ECs, namely, CASURECO III, Marinduque Electric Cooperative, Inc. (MARELCO), Oriental Mindoro Electric Cooperative, Inc. (ORMECO), and Quezon I Electric Cooperative, Inc. (QUEZELCO I).
Latest data from the NEA Accounts Management and Guarantee Department (AMGD) showed that from January to March this year, P102.4 million in loans, including calamity loans, were released to five ECs.
These ECs availed of the calamity loans for the repair and rehabilitation of their respective power distribution systems and other facilities that were damaged by typhoons Quinta, Rolly, and Ulysses last year.
The calamity loan offered by the NEA has a maximum 10-year repayment term, with a grace period of one year and an interest rate of 3.25 percent per annum.