MAGUINDANAO, Philippines — The Maguindanao Electric Cooperative (Magelco) cut off the supply of electricity in parts of this province over unpaid bills amounting to P1.2 billion.
Ashary Maongco, Magelco manager, was quoted in radio interviews as saying that the move aims to force consumers to settle their bills.
Maongco said only 34 percent of Magelco’s 47,000 consumers pay their bills on time. He said power would be restored if at least 70 percent would settle their oustanding bills or agree to a restructuring agreement.
Maongco said those who would not comply face service disconnection.
Magelco buys electricity from the Power Sector Assets and Liabilities Management Corp. (PSALM), which operates hydroelectric plants in Lanao del Sur and Lanao del Norte.
Sources said Magelco’s obligations with the PSALM have ballooned in the past several years.
Among those with unpaid bills are said to be relatives of politicians and members of influential families.
“The good payers are at the losing end,” a town mayor, who asked not to be identified, said.