MANILA — The National Electrification Administration’s takeover Friday morning of local power distributor Abra Electric Cooperative (Abreco) was done “to protect the welfare and interest of the electric cooperative and its member-consumer-owners,” NEA Administrator Edgardo Masongsong said in a statement.
“With the recent development relative to the Notice of Default and Notice of Suspension issued by the PEMC (Philippine Electricity Market Corporation), NEA is under obligation to take over the management and operations of Abreco,” Masongsong said.
According to NEA, Energy Secretary Alfonso Cusi had told the agency to address the financial and management problems of Abreco decisively.
On Friday morning, Masongsong was accompanied by the members of the newly created Task Force Duterte Abra Power in a meeting with the employees and officials of Abreco to help ensure a smooth takeover.
The Task Force would serve as an Electric Cooperative Board of Directors prescribed by NEA.
The take over also happened days after a Notice of Default and Notice of Suspension against Abreco was issued due to its failure to pay over PHP200 million in power supply bills, NEA noted.
Masongsong had issued Office Order No. 2017-168 last September for the creation of the Task Force to take charge of the rehabilitation of Abreco.
To supervise the management and operations of Abreco, NEA has designated lawyer Xerxes Adzuara as Project Supervisor.
NEA said assigned as Acting General Manager was the agency’s Charito Mabitazan, who will manage the day-to-day operations and ensure the efficient delivery of service of the power distributor.
NEA and the Task Force plan to re-engineer Abreco into an excellently performing distribution utility, the agency’s statement said. (Ma. Cristina Arayata/PNA)