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DANECO BREAKS GROUND WITH P1B IN ELECTRIFICATION PROJECTS — MASONGSONG

The Davao del Norte Electric Cooperative, Inc. (DANECO) recently celebrated its 48th founding anniversary with a series of groundbreaking ceremonies for its electrification projects worth combined over P1 billion, which include the installation of 72 kV (kilovolt) submarine cable to improve the energy supply on the Island Garden City of Samal (IGACOS). 

National Electrification Administration (NEA) chief Edgardo Masongsong spearheaded the groundbreaking and time capsule laying for the construction of DANECO’s new office building in Tagum City last Sunday (September 22); the setting up of the 69 kV overhead subtransmission line for a submarine cable connection; and the installation of the 72 kV submarine cable, and the 20 MVA substation in Samal Island. 

“This will realize economic and social development for all the constituents of the two provinces of Davao del Norte and Davao de Oro.”

The new office building, which will be funded by the NEA under its enhanced lending program, will be located in Tipaz, Magugpo East, Tagum City. The two-storey building is expected to be completed in one year.

The three projects related to submarine cable connection worth a total of P1.108 billion will be financed by the Bank of Commerce, a subsidiary of San Miguel Corp. (SMC). These are in partnership with the local government units of Pantukan and IGACOS and the National Grid Corporation of the Philippines (NGCP).

The submarine cable will run 11.5 kilometers from Pantukan, Compostela Valley to Aundanao, Peñaplata in IGACOS. The 20 MVA substation to be built in Peñaplata, on the other hand, will cater to the growing power demand of Samal Island. 

Another highlight of the anniversary celebration was the signing of a memorandum of agreement between DANECO, together with the Davao del Sur Electric Cooperative, Inc. (DASURECO) and the Davao Oriental Electric Cooperative, Inc. (DORECO), and the Yamog Renewable Energy Development Group, Inc. (Yamog, Inc.) for a solar project aimed to energize off-grid communities. The project is funded by the European Union-Access to Sustainable Energy Programme (ASEP). 

Masongsong described these projects as tangible evidence of the NEA and DANECO’s dedication to the national government’s rural electrification, and continuing commitment to help improve the lives of many Filipinos in rural areas. 

“This is a product of collective effort of all the member-consumer-owners of DANECO, the electric cooperative, with the help and support of the local government units in the two provinces of Davao del Norte and Davao de Oro, or the former Compostela Valley,” Masongsong said.

“We are looking forward for a reliable service, efficient system, and hopefully, affordable electricity rate, if not cheap. This will realize economic and social development for all the constituents of the two provinces of Davao del Norte and Davao de Oro,” the NEA chief added. 

Upon completion, Masongsong said the electrification projects are expected to boost the economic and tourism activities on Samal Island and unlock many opportunities for the residents. 

“The electrification projects are expected to boost the economic and tourism activities on Samal Island.”

“The projection in the next five years, the power demand on Samal Island alone is expected to reach 35-megawatt (MW) from the existing 10 MW,” the administrator said. 

DANECO Acting General Manager Mario Angelo Sotto said the installation of submarine cable will commence in November right after the bidding process and will be completed in one year. 

Sotto also assured that there will be no electricity rate change after completion of the project. 

The groundbreaking ceremonies were also attended by Undersecretary Joy Burgos and Assistant Secretary Jose Sylton Solidum from the Office of the Cabinet Secretary, Task Force Duterte Northern Davao Power chairman and Agusan del Sur Electric Cooperative, Inc. (ASELCO) general manager Emmanuel Galarse, NGCP consultant Pedrito Baculio, Atty. Rhett Roswell Mislang from the Energy Regulatory Commission, and the local government executives of Tagum City; Pantukan, Compostela Valley; and IGACOS.

DANECO marked its 48th founding anniversary with the theme “Bag-ong Paglaum, Bag-ong DANECO [New Hope, New DANECO].” 

It will be recalled that in 2017, the NEA formed Task Force Duterte Northern Davao Power to oversee the operations and management of DANECO. The task force was also tasked to fix the power co-op and institute the needed reforms in the financial, institutional and technical areas of its operations.

A former top performing electric cooperative, DANECO distributes power to the provinces of Davao del Norte and Compostela Valley including Tagum City and Island Garden City of Samal serving 213,139 consumer connections as of June 2019.

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