DBM releases P814.4 M to NEA

MANILA, Philippines - The Department of Budget and Management (DBM) has released P814.4 million to the National Electrification Administration (NEA) for its electrification program in far-flung villages.

In a statement, the Budget department said the P1.814 million has been charged against the Malampaya fund or revenues from the deep-water-to-gas project between the government and a private consortium led by Shell Exploration B.V.

However, data from the DBM showed that the P814.4 million would only provide electricity to 1,410 far-flung areas out 33,370 areas that have been identified as having no access to electricity.

Prior to this, the DBM also released P1.62 billion to the National Power Corp. (NPC) to prevent imminent power shortages in remote areas across the country.

“This is part of administration’s programs for poverty reduction as it will create a positive impact on the livelihood of the communities,” Budget Secretary Florencio Abad said.

Of the P814.4 million, the department is allotting P116 million to Region X where 184 areas do not have electricity and P84 million to Region V to benefit 136 areas.

The remaining, P64 million will go to Region III to benefit 117 areas.

The Sitio Electrification Program is a 10-year program of NEA that started last year which aims to light up all un-energized sitios in the country.

“The criteria for prioritization that is being used by the NEA include accessibility to the project, capability of electric cooperatives to implement projects, peace and other condition, and right of way considerations.

For 2012, NEA is asking P2.57 billion from the government to implement its electrification project.