With nearly all of the Electric Cooperatives Emergency and Resiliency Fund (ECERF) already disbursed and dozens of cooperatives still unrepaired, the National Electrification Administration (NEA) is pressing lawmakers to amend the law behind the fund to allow for proactive disaster measures.
The ECERF, created under Republic Act No. 11039, allots PHP 200 million annually to support electric cooperatives (ECs) affected by natural disasters. But according to NEA Deputy Administrator for Technical Services Engr. Ernesto Silvano, Jr., this amount is no longer enough to meet the growing cost of recovery.
“We recognize the importance of the ECERF in helping ECs recover from disasters. However, the PHP 200-million allocation for this year is not adequate,” Silvano said during the BusinessWorld Insights Forum on April 22 in Makati.
He noted that “as of March 13, 98% of the fund has already been disbursed, yet 25 ECs severely affected by last year’s calamities still lack the financial support needed to fully restore their distribution systems.”
The NEA is also advocating a shift in the law’s scope, pointing out that the current legislation only permits post-disaster restoration. Silvano emphasized the importance of using the fund for disaster mitigation efforts.
“Consequently, there is a strong need to amend the law governing ECERF, expanding its purpose to include pre-disaster mitigation,” he said, stressing that funds should also be used for strengthening infrastructure before disasters strike.
“By allowing funds to be used for retrofitting infrastructure, enhancing resiliency, and investing in preparedness measures, we can better equip our ECs to withstand future disasters and minimize their impact,” Silvano added.
The ECERF law was enacted in 2018 to speed up the restoration of electricity services in communities hit by calamities. The NEA serves as its implementing agency in coordination with other government bodies and stakeholders.
What’s your take? Should the ECERF be revised to fund disaster prevention, not just recovery? Share your thoughts and join the discussion.
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