The Philippines’ beautiful islands and landscapes make the country unique, but its archipelagic nature also creates a challenge: ensuring every home and business has accessible electricity. Urban areas typically enjoy reliable power, but rural areas rely on electric cooperatives to bring electricity to their communities.
These cooperatives are the backbone of local economies; they improve lives and drive growth in remote areas.
Check this visual guide to discover the electric cooperatives in the Philippines and their vital role in energizing communities, one connection at a time.
Understanding Electric Cooperatives in the Philippines
Electric cooperatives are non-profit organizations owned by the people who use their services. They supply power and support local growth and sustainability. More specifically, they:
- Provide reliable electricity to rural and remote communities.
- Create jobs and support nearby businesses.
- Operate on a cost-of-service basis and return profits to members.
- Explore clean energy and reduce carbon footprints.
- Invest in infrastructure and services to improve community welfare.
- Expand access to broadband in rural areas.
- Ensure member involvement in decision-making through democratic processes.
10 Benefits of Being a Top Electric Cooperatives Member in the Philippines
Electric cooperatives are vital in community development. Here are the top benefits of being a member.
1. Lower electricity costs
Electric cooperatives operate on a non-profit basis, meaning they charge only what’s needed to maintain operations. They reinvest any excess revenue in infrastructure or return it to members as capital credits. In effect, they help reduce electricity costs over time, making power more affordable, especially in rural areas.
2. Community ownership and control
As a member of an electric cooperative, you’re not just a customer—you’re also an owner. You elect the board of directors, vote on key issues, and help shape policies that impact the community. This democratic structure ensures that the cooperative prioritizes local needs over profit and offers fairer rates and better service.
3. Focus on rural electrification
Many remote areas in the Philippines still struggle with unreliable or lack of electricity. Unlike private power companies that prioritize profit-heavy urban centers, electric cooperatives are committed to expanding power access to underserved areas. As such, rural households, farms, and businesses can thrive with reliable electricity for daily activities and economic growth.
4. Government support and subsidies
The Philippine government recognizes the importance of electric cooperatives in rural electrification. In fact, many cooperatives receive financial support, tax incentives, and subsidies that help maintain affordable electricity rates. These benefits ultimately serve members by making electricity costs more manageable.
Some government initiatives include:
- Tax exemptions for electric cooperatives – The Philippine government grants tax exemptions to electric cooperatives to boost the country’s total electrification efforts.
- Philippine Rural Electrification Program (REP) – This effort aims to expand electricity access to rural areas. Since its inception, it has connected 15 million households, benefiting 70 million Filipinos over more than five decades.
- Sitios Electrification Program – This program focuses on achieving 100% electrification of sitios or small rural communities. As of August 2024, the National Electrification Administration (NEA) has successfully energized 1,153 sitios through a government subsidy granted in 2023.
5. Revenue reinvestment into the community
Unlike private power companies that distribute profits to shareholders, electric cooperatives reinvest their earnings back into the community. With financial backing at the disposal of cooperatives, it helps support infrastructure upgrades, system maintenance, and even social programs.
For example, some cooperatives build better power substations to prevent outages, while others fund community projects like schools and health centers.
6. Better consumer protection
Electric cooperatives are member-owned, so they operate with transparency and accountability. If you become a member, you have access to financial reports and decision-making processes. All the more, if issues arise, you can voice your concerns directly to cooperative leaders and get immediate responses or assistance.
7. Renewable energy integration
Many electric cooperatives are now investing in solar, wind, and hydroelectric power. It reduces dependence on fossil fuels and stabilizes electricity prices in the long run. Some cooperatives even offer net metering programs, allowing members with solar panels to sell excess power back to the grid.
Likewise, electric cooperatives in the Philippines are integrating solar hybrid mini-grids. Initiatives like the CORE training program equip cooperatives with the skills to design and implement these systems, particularly in rural areas.
Additionally, the EU-funded I-PURE program in Mindanao supports solar-powered facilities and household electrification in marginalized communities.
8. Economic and social impact
Reliable electricity powers your shop, business, or farm. If you’re a small entrepreneur, like the owner of a water refilling station or an agricultural goods processing company, a stable power supply boosts your productivity and income. Cooperatives also create jobs, ultimately supporting local employment in your community.
At home, it means better lighting for your kids to study, safer food storage, and easier access to information and health services.
9. Disaster resilience and quick recovery
The Philippines’ top cooperatives prioritize their communities’ well-being, especially during natural disasters. When typhoons or earthquakes damage power lines, they act quickly to restore electricity. Some even have emergency response teams ready to address outages as soon as possible.
10. Programs for energy efficiency and education
Many cooperatives run educational programs that teach you how to save electricity and reduce your bills. They also promote energy-efficient appliances and practices to help you make informed choices about energy use.
A Definitive List of Prominent Electric Cooperatives in the Philippines
Many cooperatives operate across the country, but some stand out for their impact on local development, efficient service, and innovative practices. Here’s a look at some of the top electric cooperatives in the Philippines.
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Cebu I Electric Cooperative (CEBECO I)
CEBECO I is the first rural electric cooperative in Cebu. In 1976, it initially served the municipality of Barili. Four years later, it completed the electrification of all municipalities within its coverage area.
Its responsibilities include supplying power across its franchise area, promoting the use of electricity for community development, and offering reasonable rates.
With an AAA rating for five consecutive years, CEBECO earned the Best Electric Cooperative Award at the 2024 NEA Lumens Awards.
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Iloilo III Electric Cooperative (ILECO III)
ILECO III has been catering to communities in the southern part of Iloilo since 1977. The cooperative delivers efficient, reliable, and affordable electricity while focusing on system efficiency and regulatory compliance.
It also holds an AAA rating from the NEA, reflecting its excellence in performance and reliability. Additionally, ILECO III is reputable for its proactive disaster recovery efforts and its commitment to sustainable energy solutions.
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First Laguna Electric Cooperative, Inc. (FLECO)
Serving Laguna since 1977, FLECO has built a reputation for reliable service and commitment to the welfare of its member-consumers. It has achieved 100% energization of 164 barangays and maintained an AAA rating for several years.
FLECO sources all its power from trusted suppliers and operates five substations with a total capacity of 55 MVA. The cooperative is also actively involved in various corporate social responsibility (CSR) projects, including education programs, medical missions, and livelihood initiatives.
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Aklan Electric Cooperative (AKELCO)
AKELCO serves the entire Aklan province, including Boracay, a popular tourist destination. It’s known for quick responses to outages, especially during typhoon season, and provides affordable electricity to its members. After a 2002 turnaround, AKELCO received the distinction as a Multi-Awarded Class A+ Power Cooperative in 2005.
Moreover, the cooperative is increasingly integrating renewable energy, like solar power, to minimize the use of traditional energy.
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Pampanga I Electric Cooperative, Inc. (PELCO I)
PELCO I generates reliable power for the towns of Arayat, Candaba, Magalang, Mexico, San Luis, and Sta. Ana in Pampanga. Since its founding, PELCO I has worked hard to improve its power systems to keep up with both city and rural needs.
With a collection efficiency of 99.64% and low system loss, it delivers continuous electricity for over 130,000 customers. The cooperative also works with renewable energy providers to secure its power supply.
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Pangasinan I Electric Cooperative (PANELCO I)
Since 1972, PANELCO I has been powering the city of Alaminos and the municipalities of Agno, Anda, Bani, Bolinao, Burgos, Dasol, Infanta, and Mabini. The cooperative supplies reliable, 24-hour electricity to both rural and urban areas, fueling the growth of local businesses, farms, and homes.
PANELCO I is also improving its infrastructure through projects like the SEP and embracing renewable energy projects to reduce its environmental impact.
Empowering Communities, Energizing the Future
Electric cooperatives in the Philippines are the driving force behind rural progress and community development. They ensure that even the most remote areas have reliable and affordable power to improve the quality of life and promote sustainability. When you join a cooperative, you become an active partner in your community’s growth and energy security.
If you’re looking for more efficient, sustainable power solutions, SolarNRG is here to help. We offer solutions that can provide solar energy for industrial use and enhance your community’s future.
Contact us today, and let’s explore how solar can work for your business.
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