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Gatchalian supports increase in electric coops emergency fund for 2022

PASAY CITY -- From the P200 million allocation in next year’s emergency response funds for electric cooperatives, Senator Win Gatchalian expressed his support to increase the appropriation for the Electric Cooperatives Emergency and Resiliency Fund (ECERF).

The ECERF was institutionalized as a ready fund that can be tapped by ECs for faster restoration of electricity and power facilities damaged by natural calamities and the said funds are being administered and managed by the National Electrification Administration (NEA).

NEA is requesting for a P1.2 billion allocation for ECERF for 2022, a 500% increase. For this year’s ECERF funds, the Special Allotment Release Order (SARO) was received by NEA only last August.

“Give us the basis for the P1.2 billion at hahanap kami ng pera. We have to justify the proposed increase. Of course, we want to make sure that the ECERF is funded,” Gatchalian told NEA officials in hearing the proposed 2022 budget of the agency.  

“That’s an important item because we’re hit by typhoons every year and the ECs are the first ones that bear the brunt. Electric poles are knocked down and electric wires get damaged,” he added.

The Senate Energy Committee Chairman took note of the measly appropriation for ECERF, which was provided an initial P750 million funding when it was signed into law in 2018 and intended to extend support to electric cooperatives (ECs) adversely affected by calamities.

For Fiscal Year 2022 the proposed budget for the ECERF is P200 million to be funded by the National Government Subsidy.

“Calamity-stricken ECs often resort to seeking loans to finance the repair and rehabilitation of their utilities. We enacted the ECERF law to enable these affected ECs secure needed resources without having to worry about interest rates which will eventually be passed on to consumers, resulting in higher electricity rates,” Gatchalian, principal author of Republic Act No. 11039 or the ECERF Law, explained.  (DAR)

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Kate Shiene Austria

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Information Officer III under the Creative and Production Services Division of the Philippine Information Agency. 

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