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SP inquires status of 2 fighting electric coops

DAVAO City–The Sangguniang Panlalawigan of Davao del Norte has managed to have the two sets of board of directors and management officials of two conflicting electric cooperatives see eye-to-eye to answer issues during its regular session.

Presiding officer Vice Governor Victorio Suaybaguio Jr said during the session’s question hour that all the legislative department and Governor Rodolfo del Rosario wanted was to know the real situation of the Davao del Norte Electric Cooperative (Daneco) and find solution to the problem for the good of the member-consumers in Davao del Norte and Compostela Valley.

Daneco has been wracked with two factions, comparatively called now as Daneco- NEA (National Electrification Administration) and Daneco-CDA (Cooperative Development Authority) fighting it out in courts and in their separate operations and collection activities for legitimacy and dominance for more than a year now.

“We are the one that is legal for being under the regulatory and disciplinary powers of NEA,” said Gregorio Ybanez, chairman of the board of directors of Daneco-NEA.

He ruled out suggestions of several board members for a compromise and instead charged Daneco-CDA’s officials to account for the millions of collection they made and remit these to Daneco-NEA.

Ybanez told SP members that Daneco-CDA should show their audited financial statements and should be liable for the acts they are continuing to make that create confusion to the people and exact huge damage to Daneco.

Ybanez said that Daneco-CDA is not paying its power obligations and it is Daneco-NEA that has been paying power suppliers which include PSALM, NGCP and Therma Marine.

Also, Daneco-NEA OIC general manager Benedicto Ongking informed officials in session that as of June 2013 their group was able to pay P437.93 million to the power generator PSALM but there is still a balance of the total payable amounting to P271.92 million.

From October 2012 to June 2013, Daneco as a whole had a total payable to PSALM amounting to P293.39 million, which was already restructured by PSALM to P274.99 with an interest of P18.4 million payable in three years, Ongking said.

“We can still pay power suppliers but not on due date, and (for this) we are incurring interest,” he said.Ongking said that before the crisis came up Daneco used to have 95 percent collection efficiency rating in 2012.

But when the dispute with Daneco-CDA started, he added, the collection efficiency rating was down to 51 percent and further sank down to 42 percent in the succeeding months after typhoon Pablo, he said.

On the other hand, Abenir Labja, chairman of the board of directors of Daneco-CDA, told SP members that they would continue operating and asked Daneco-NEA officials for unity and reconciliation.

Asked by Board Member Shirley Aala if Daneco-CDA has been paying power supply obligations, he said that records showed that they paid P34.10 million to NGCP, a state-controlled firm in charge in the business of power grid and transmission.

As to Daneco-CDA’s collection, Labja said they are collecting an average of P10-11 million monthly, which “represents about 5.5 percent of Daneco’s total power consumption.”

He said the bulk of the balance of the collections “are still in the hands of the power consumers” treating those collected by Daneco-NEA as still receivables.

He said Daneco-CDA’s legality came up with the May 2012 referenda where member-consumers voted for a conversion of stock cooperative under CDA. PNA