EDC turns over P4.16M electrification fund to NORECO1

MINERVA BC NEWMAN

DUMAGUETE CITY – The Energy Development Corporation (EDC), a Lopez-led geothermal company turned over some P4.16 million to the Negros Oriental 1 Electric Cooperative, Inc. (NORECO 1) for its electrification fund under Energy Regulations (ER) 1-94 benefits as host to EDC’s 222.5 megawatts (MW) Southern Negros geothermal facility including its Green Core Geothermal, Inc. (GCGI) subsidiary in Valencia, Negros Oriental.

According to EDC that under DOE Act of 1992 ad EPIRA of 2001, energy generation companies and/or energy resource developers are required to directly provide their ER1-94 benefits equivalent to one centavo per kilowatt-hour (P0.01/kWh) of the total electricity sales to their host communities for socio-economic development and more efficient utilization of funds.

 The law said that 50 percent of the P0.01/kWh benefit or P0.005/kWh of the electricity sales shall be allocated to the host area’s electrification fund (EF) that are applied to the host barangays, municipality, province, region, and distribution utility’s (DU) other prioritized areas, as approved by the DOE.

The generation companies are required to turn over the EF to the DUs, which is responsible for opening a trust account and for administering the fund.

“We are grateful for the generosity of EDC and GCGI and for the fast delivery of these benefits. This is a big help in funding crucial projects in our areas,” said Jose Jovileo Acabal, General Manager of NORECO-1.

EDC- Negros Team corporate social responsibility head, Norreen Bautista said that being able to directly disburse to the partner communities’ benefits as hosts to the geothermal facilities provides them with the opportunity to forge a stronger partnership with them as “we work together to not only provide reliable, clean, stable power to more Negrenses but to also help them thrive even during this COVID-19 pandemic.”

EDC’s over 1,480MW total installed capacity accounts for 20 percent of the country’s total installed renewable energy capacity. 

 Its geothermal facilities in Valencia, Negros Oriental has been providing clean, renewable, reliable power 24/7 to Negros Island and other parts of the Visayas region for almost 38 years. (Photos: EDC)