National Grid warns electric cooperatives with arrears of power supply cuts

MANILA, Philippines - The National Grid Corporation of the Philippines (NGCP), the private concessionaire now operating the country’s power transmission highway, has threatened to cut services of electric cooperatives (ECs) with delinquent accounts.

NGCP president Walter Brown said he has requested the National Electrification Administration to intercede with the ECs on this matter.

Brown also sought NEA’s continued support and assistance as they put their minds together to seek possible solutions to problems with the ECs, especially on the issue of non-payment and disconnection. 

He noted that NEA has already helped some financially ailing electric cooperatives to settle their accounts through the agency’s short-term credit facility.

“It is in the best interests of everyone that electricity be always available to direct customers but at the same time, NGCP, as a private corporation, is also accountable to its investors and other stakeholders. We are grateful to our customers who understand this situation,” he added.

The NGCP chief warned that the unsettled bills may result to disruption of service to these delinquent customers.

“I asked customers to immediately settle outstanding financial obligations to ensure continuous power transmission services,” he said.

Brown also noted that as a private company, NGCP “needs the funds to carry out its mandate of expanding and maintaining the transmission grid and providing reliable electricity to consumers.”

But Brown pointed out that NGCP has been taking all appropriate actions to maintain power reliability, security, and quality to protect the interests of its stakeholders, including power customers who dutifully pay on time.

He said they are now carrying out various improvements in transmission operations and customer services to meet the demand for reliable and quality electricity.

Since NGCP took over the transmission operations business in January this year, it has been exerting extra efforts to conduct the necessary maintenance, rehabilitation and upgrading activities on its major transmission lines and substation facilities nationwide formerly managed by the government.

In Northern Luzon, NGCP is currently rehabilitating a portion of the 230-kilovolt San Manuel-Concepcion line which spans 80 kilometers from Concepcion, Tarlac to San Manuel, Pangasinan. Tower 159 on the Agno River floodplain in Villasis, Pangasinan was threatened by strong river current and soil erosion which caused the riverbank to advance directly to the location of the tower.

Brown said the private management set-up allows the company to be more flexible and responsive, especially when it comes to serving and addressing the concerns of customers.

“NGCP is cutting off bureaucratic procedures without compromising the necessary controls. Like any private corporation, we have to earn profits but at the same time, we are very much conscious of the fact that we are providing a public service.”

To enhance customer services, a focused marketing group has also been created to handle service agreements from contract negotiation to commercial connection, direct connection application services, account management, billing dispute settlement, and regular customer bulletins.