Proposals to divide Beneco, convert to stock coop shelved

By Dexter A. See

BOKOD, Benguet – The proposal to divide the Benguet Electric Cooperative into two electric cooperatives and convert the same into a stock cooperative and subsequently register it with the Cooperative Development Authority (CDA) was shelved by the members during the Annual General Membership Assembly (AGMA) held here Dec. 3.

When the assembly was called to order by Ferdy Bayasen, Guisad Central punong barangay and president of the Beneco board of directors, 898 members were reported to have responded that constituted a quorum and allowed the different issues to be tackled and voted upon by the members.

The proposal to divide Beneco into the Baguio City and Benguet Electric Cooperatives was presented by BialPalaez who argued that it is high time to divide Beneco into two cooperatives so concerns of Benguet relative to rural electrification will be effectively and efficiently addressed while Baguio City will be maintained as an urban cooperative.

However, lawyer Agapito Bolislis questioned the failure of the proponents of the division of Beneco to present a feasibility study that will justify the separation of the two cooperatives so that the consumers will appreciate the wisdom of dividing the performing cooperative, thus, the matter must be shelved until such time that the proponents are ready to present the studies that will show the advantages and disadvantages of Beneco’s division and whether or not it will be favorable to both Baguio and Benguet consumers.

Gerardo P. Verzosa, Beneco general manager, said proponents of the cooperative’s division must be able to show what will happen to the existing rates which is the most important aspect so that members will be informed on what will happen to the charges once the cooperative will be divided.

On the repeated issue of Beneco’s conversion into a stock cooperative and register the same with the CDA, Bolislis moved for the deferment of the discussion of the matter considering that the issue had been extensively discussed and two referenda were conducted for the purpose but consumers twice overwhelmingly rejected the proposal.

“It is unfair for our critics to constantly use the issue on division and conversion to mislead our consumers into believing in their advocacies. We have shown to our members reliable service that translates to cheaper rates and quality power which they are now currently enjoying,” Verzosa said, adding such issues had always been brought out in previous general assemblies but the members have clearly spoken against such proposals.

“Where were they (critics) when Beneco’s systems loss was over 30 percent and was nearly bankrupt? Now that we are reaping the fruits of our improved service to our members, they are now hurling unfounded and baseless issues against us. They must be able to show concrete proof that we need to divide Beneco or convert it to a stock cooperative,” he added.

Last year, Beneco was cited by the National Electrification Administration (NEA) for having a single digit systems loss, for having sustained its classification as class AA¬+ and for maintaining a 100 percent collection efficiency.

Vice Governor CrescencioPacalso cited for Beneco for its exemplary performance in implementing the rural electrification of the national government which resulted to the bringing of power even to the farthest sitios of the 13 towns over the past three decades.

According to him, Beneco is one of Benguet’s best because of its relentless efforts in bringing power to the countryside as mandated by existing laws, rules and regulations.

For his part, Mayor Mauricio Macai expressed his gratitude to Beneco for its service in implementatiin electrification programs as well as corporate social responsibility projects that have impacted on the lives of his constituents, especially in far flung villages in the town.

Verzosa said Beneco will continue to strive hard in delivering quality power to in order to be competent in the field of electrification.