Power Coops Post Another Record Low Systems Loss Average in 2016 – MASONGSONG


More electric cooperatives (ECs) reduced their systems losses last year, resulting in a record low average of 10.99%, down 0.13% from the 11.12% average they posted in 2015, the National Electrification Administration (NEA) has reported.

Latest data released by the NEA Engineering Department over the Holy Week break showed that 42 ECs registered single-digit system loss average in 2016 while 53 others stayed within the 13% cap set by the Energy Regulatory Commission (ERC).

Still leading the top five ECs in terms of low system loss averages as of December 2016 was the Misamis Oriental I Rural Electric Cooperative, Inc. (Moresco-1) at 2.14% followed by the Siasi Electric Cooperative, Inc. (Siaselco) at 4.77%.

The Dinagat Island Electric Cooperative, Inc. (Dielco) was third at 5.31%, followed by the Iloilo III Electric Cooperative, Inc. (Ileco III) at 5.95%, and the Bohol I Electric Cooperative, Inc. (Boheco I) at 6.07%.

Siaselco and the Maguindanao Electric Cooperative, Inc. (Magelco) showed the most dramatic improvement in 2016 as they cut back on their systems losses by more than half their average the previous year, from 10.22% to 4.77% for Siaselco and 27.34% to 11.87% for Magelco.

Nine other ECs also managed to bring down their system loss averages from double digits in 2015 to under 10% last year, including the Agusan del Norte Electric Cooperative, Inc. (Aneco), Aklan Electric Cooperative, Inc. (Akelco), Batangas II Electric Cooperative, Inc. (Batelec-2); the Quezon II Electric Cooperative, Inc. (Quezelco-2), Romblon Electric Cooperative, Inc. (Romelco), Nueva Vizcaya Electric Cooperative, Inc. (Nuvelco), Nueva Ecija II Electric Cooperative, Inc. (Neeco-2) Area 1, Surigao del Norte Electric Cooperative, Inc. (Surneco) and South Cotabato II Electric Cooperative, Inc. (Socoteco-2).

By region, the ECs in Central Visayas continued to post the lowest system loss average at 8.48%, followed by those in Northern Mindanao at 8.75%, Central Luzon at 8.97%, the Cordillera Administrative Region (CAR) at 9.58% and Caraga at 9.64%.

NEA Chief Edgardo Masongsong welcomed this development, as the reduction in the system loss of the ECs remains one of the major policy thrusts of the agency under his administration.

“Electric cooperatives must continue to implement measures that would keep their systems loss average at the minimum to ease the burden on their consumers who are forced to shoulder it,” Masongsong said.

Significant reductions in systems losses allow the ECs to become operationally efficient and be of better service to their member-consumers. A low system loss often leads to lower electricity rates.


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