‘Rehabilitate Zamboanga City Electric Cooperative’

MANILA, Philippines — Zamboanga City Rep. Celso Lobregat warned residents of the city and nearby areas of power outages if the Zamboanga City Electric Cooperative (Zamcelco) is not rehabilitated soon.

Lobregat said the cooperative is on “financial decline” and on the verge of failing to pay for electricity it gets from suppliers.

“There should be a more active and deliberate intervention from the government to ensure the rehabilitation of the cooperative. The problem is worsening. Last month, Zamcelco’s power supply was almost cut off because it couldn’t pay its suppliers on time,” he said.

Lobregat said Zamcelco owes power generators around P2 billion, which accumulated through the years.

He urged the National Electrification Administration (NEA) to intervene and look for a company that could efficiently manage Zamcelco.

“I believe NEA should come in... NEA should handle the bidding process for the awarding of an investment management contract to a private operator,” he said.

Lobregat said Zamcelco called for a rebidding after some bidders backed out allegedly due to unclear terms of reference.

He expressed concern that awarding the contract to the wrong company would only worsen Zamcelco’s service and finances. 

“What is important is that the contract is awarded to a company that has experience in power distribution.The winning bidder should not only have the financial backing and financial expertise but also the technical expertise and track record,” Lobregat said.