Electricity

*ZAMBOANGA CITY ELECTRIC COOPERATIVE*

The Zamboanga City Electric Cooperative, Inc., commonly known as ZAMCELCO, is an electrical power supplier in Zamboanga City in the Philippines.

The electric service in Zamboanga City used to be operated, managed and maintained by then City Electric Light System (CELS) – the utility department of the local (city)government until the concept of rural electrification by the national government came into view and followed by the organization of Rural Electric Cooperatives (RECs).

Thus, came into existence the Zamboanga City Electric Cooperative, Inc. (ZAMCELCO) on February 23, 1974 which was organized by and registered with the National Electrification Administration (NEA) under the provisions of Presidential Decree No. 269 which among others declared as a national policy objective, the total electrification of the country on an area coverage basis.

The Board’s decision not to adjust the rates despite the recent fuel price hike had a telling effect on the operations. While the coop absorbed the increase in fuel prices on one hand, it only committed itself to unreliable service on the other. As such, no spare parts could be purchased as two more gen sets conked out to compound the misery. NEA’s operating capital of P 1.5 M was all but lost in view of the coop’s inadequate rates in the early years of rehabilitation vis-à-vis high system’s loss.

Yet these financial woes did not hamper the spirit of the coop officials in acquiring /signing the Deed of Absolute Sale of the 7-hectare Putik lot for its headquarters on 02 September 1977, and even extended its power lines to 16 more new barangays.

The ensuing year 1978 was described to be a turbulent period for the Coop. The district election as well as the annual meeting were disrupted. It was only the turn of the second half of the year that the operations improved and the financial position started to rise to a healthy level. This could be attributed, among other factors, to the credit facilities provided by the PERTOPHIL after the coop settled its past accountsThe National Electrification Administration (NEA), issued Certificate of Franchise No. 006 to ZAMCELCO granting it the authority to operate electric light and power service in its franchise area, the City of Zamboanga, for fifty (50) years of starting 17 April 1978.

The NPC power rate increase, meanwhile, was effected on 14 October 1990 whereby a total of P 0.13 / kw-hr was added to the coop’s existing rates, even as the city suffered a 15-hour long power interruption caused by a fallen coconut tree on the NPC 69 KV line. Despite this increase in rate, the coop’s rate of P 1.4366 / kw-hr (res) was still considered among the lowest in the country

Lines upgrading under the Commodity Package Loan (Level I) started to take place with the AWIA engineering consultants laying down the necessary groundwork's. The coop board, on the other hand, adopted a resolution granting delinquent consumers an amnesty on the payment of the 10% surcharge. This grace period to avail this advantage lasted only up to November 1990. Massive disconnection followed after the termination of the period. Vis-à-vis this development, was the check up of watt hours meters of all coop employees and the re-calibration of the same, if needed. Some employees, though , were meted the corresponding administrative consequences when found positive of violation.

For the first time ever, the coop held a series of joint information drives with the Zamboanga City Water District (ZCWD) in certain depressed areas in the city pursuant to a directive from senator Ernesto Maceda. The venture, coupled with the five-month general amnesty on surcharges for overdue accounts greatly helped boost the Coop’s collection efficiency for current accounts that year.

The prospect of the coop of financially acquiring its own “localized” general manager on the ensuing months appeared brighter, which was a veritable silver living that the coop employees were looking forward to.

It was not to say for certain, however, that if and when it became a reality, the coop’s ills would have vanished.

Save for certain minor items, the year 1993, as was the year before it was once more “nothing much to crow about.” The one single significant aspect in the day-to day operations of the coop was its acquisition of its own “localized” general manager. The prospect of having for the second time since its inception in 1974 a local GM was hailed by the coop employees as a veritable silver lining they were looking forward to since last year.

Before the advent of the new GM at about this time in 1992, the coop had, for the first time in its history, slid down to category “Class D” in its operations. This sad state of affairs had rendered the coop vulnerable to the prospect of being totally disconnected by its only source of power, the NPC for its inability to meet its monthly obligation. Arrears upon arrears in monthly power bills were piling up with very little relief on sight. The dire prospect of a total power shutdown was growing brighter and brighter everyday. Zamboanga City Electric Cooperative, Inc. ZAMCELCO "A Tradition of Service to the People of Zamboanga"

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