DANECO MESS   NEA order CDA group to stop collecting

The National Electrification Administration (NEA) is urging member-consumers to pay their bills to the NEA-registered Davao del Norte Electric Cooperative (DANECO ELECTRIC) and not to its renegade namesake.

The group supported by the Cooperative Development Autority (CDA)

In a cease-and-desist order re-issued by NEA last November 9, pursuant to pertinent provisions of Republic Act 10531, otherwise known as the National Electrification Administration Reform Act of 2013, the NEA has directed the Cooperative Development Authority-backed DANECO to foreclose its collection offices.

DANECO, Inc. Legal Adviser Daniel Campoamor said DANECO-CDA, has no legal authority to manage the cooperative.

Campoamor said that DANECO-CDA failed to comply with the following requirements: franchise permit issued by Congress, certification of registration and Tax Identification Number (TIN) issued by the Bureau of Internal Revenue (BIR), approved power rate issued by the Energy Regulatory Commission (ERC) and power contract from suppliers.

Despite the issuance of the order, he said that DANECO-CDA continues to operate in its branches in Davao del Norte and Compostela Valley, including Tagum City, Pantukan, Asuncion, Mawab, Kapalong and Laak.

NEA can file comtempt in court or criminal case againts DANECO-CDA, pursuanon to RA 10531,” Campoamor said.

DANECO customers are also told to pay their electric bills to DANECO-NEA, since it is managed by “Task Force Duterte” who is tasked to run the cooperative.

Customers of Daneco were told to pay their electricity bills only to Daneco-NEA, the court-recognized management backed by the state-run agency.

NEA Project Supervisor Mario Angelo Sotto hoped that with the second issuance of the CDO, the cooperative will be able to generate more revenues which will be used for the operation of DANECO.

“Consumers should not have second thoughts about the broup to whom they should they should be paying,” Sotto said.

He added, “Since the local government unit and the chief executives had already shown their support to us, through the Task Force Duterte”.

DANECO’s debt has risen to P2.7 billion since 2013.

Before the of Task Force Duterte, the cooperative was only able to generate an estimated collection of P280 million, while spending P320 million on monthly power supplies.

Right now, DANECO reached its highest peak of collection in October this year with P443 million.