June 12, 2025 – Consumer advocacy group Partners for Affordable and Reliable Energy (PARE) urges lawmakers and regulators to take a measured and performance-based approach to the debate on privatizing electric cooperatives (ECs), emphasizing the need to protect well-performing co-ops while addressing long-standing issues in underperforming ones.
“Electric cooperatives were created not for profit—but for people,” said Nic Satur Jr., Chief Advocate Officer of PARE. “They brought power to communities long ignored by private utilities, and many of them continue to do so with integrity, efficiency, and heart.”
PARE supports the recent privilege speech of APEC Party-list Representative and Assistant Minority Leader Sergio Dagooc, who strongly opposed blanket calls for privatization. Rep. Dagooc emphasized the vital role of ECs in serving underserved, rural, and economically nonviable areas.
“There are electric cooperatives that perform exceptionally well and continue to uplift the lives of millions. These are the ones we must protect, support, and strengthen,” Satur said. “But there are also problematic electric cooperatives that have failed consumers for decades — those plagued by mismanagement, inefficiency, constant brownouts, and unreasonably expensive electricity rates.”
PARE clarified that privatization must never be a default solution to these challenges. Instead, it should be treated as a last resort, applicable only when a cooperative has demonstrated a clear, consistent pattern of failure over at least 20 years—and only after all reform options have been exhausted.
“NEA must take responsibility to improve these cooperatives — not simply hand them over to private firms,” Satur added. “Privatization might bring in investment, but it can also bring the wrong priorities. We cannot allow a profit-first mindset to dominate a sector built on public service.”
The consumer group also warned against what it called the “dangerous oversimplification” of the privatization narrative.
“Let us not punish the good cooperatives for the failures of a few,” Satur said. “Let’s protect performing coops, support ailing coops, and always put the Filipino consumer first—not profits.”
PARE emphasized that while reforms are urgently needed in certain electric cooperatives, many have proven themselves capable of operating with transparency, fiscal responsibility, and effective service delivery even in remote locations. These cooperatives, PARE says, represent the original spirit of rural electrification and are key partners in achieving the country’s energy security and sustainability goals.
The group also called on the National Electrification Administration (NEA) and the Department of Energy (DOE) to conduct transparent performance audits and implement proactive capacity-building programs, especially for struggling ECs in vulnerable regions.
“Let’s be clear: we’re not against change — we’re for intelligent, just, and strategic reform,” Satur said. “We need to give failing co-ops the tools to improve. But where they consistently refuse to reform and cause consumer suffering, that’s when tougher action should follow.”
PARE reiterated that in a time when electricity prices continue to rise and power instability remains a threat in many areas, it is critical to strengthen institutions that truly serve the public good, not dismantle them without due process.
“The goal is not just to supply electricity — it’s to empower communities,” Satur concluded. “And if a co-op is doing that well, it deserves our applause, not our abandonment.”
As the energy landscape evolves, PARE calls on Congress, NEA, and all stakeholders to pursue a roadmap that prioritizes accountability, balances public and private interests, and above all, protects the rights of every Filipino consumer.
Ross is known as the Pambansang Blogger ng Pilipinas - An Information and Communication Technology (ICT) Professional by profession and a Social Media Evangelist by heart.
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