Power subsidy for MCOs who paid share capital

By Laarni Sibayan-Ilagan

BAGUIO CITY – The 1,969 member-consumer-owners (MCO) of the Benguet Electric Cooperative (BENECO) who have paid in full their minimum capital share (CS) contribution will soon enjoy a “power subsidy.”

The subsidy, which will be credited or reflected in their power bills, comes from the interest of the share capital that BENECO deposited or invested with a bank that guaranteed a premium yield account.

The interest covered the period from September to December 2023. This will be distributed to the MCOs who have paid their capital share contribution of P2,000.

The resolution, entitled 2024-64 “Resolution Approving the Declaration and Distribution of Power Subsidy to Members who Paid their Share Capital.” The Task Force passed the measure during its meeting on April 26, 2024.

Those who paid P2,000 will enjoy the power subsidy. Those who paid more than the required minimum share capital will enjoy a proportionately higher subsidy. 

The 1,969 MCOs who will enjoy the power subsidy have paid in full the P2,000 minimum share capital contribution. About 1046 of them paid exactly P2,000 each while 923 have each paid more than P2,000.

A total of 42,627 members each paid below P2,00.00.

“For consumers who have yet to complete their capital share contribution, their power subsidy will be put on hold until they have completed their share capital. This is why we encourage them to complete at least their minimum contribution of P2,000,” explained Benelita Linmipao, BENECO’s accounting officer.

For those members who have not paid any share capital, they will not be entitled to any, she said.

BENECO has more than 144 thousand members, more than half of which have yet to pay their share capital or complete the minimum capital share contribution.

BENECO management opted to invest in a premium yield account what it has collected as share capital pending the completion of the 25% paid-up capital pursuant to the cooperative law. Around P32.6 million has been collected since October 2021. ### LSI