BAGUIO CITY – The National Electrification Administration (NEA) promulgated the new guidelines covering the members of the Board of Directors of rural electric cooperatives (EC) providing that incumbent members currently on their last term of office, or have completed three consecutive terms may run for an additional term of office.
Based on NEA Memorandum No. 2017-036, to qualify for an additional term, the interested Director must remain to possess all the qualifications and none of the disqualifications set forth in Republic Act (RA) 10531 and NEA Memorandum No. 2014-019, guidelines on the conduct of district elections for electric cooperatives; must belong to a very satisfactory performing electric cooperative with attainments AAA EC in the latest NEA overall performance assessment, color blue in the most recent NEA financial and management audit and with no qualified findings in the external audit; must have a proven track record within the 3 terms or 9 years served, subject to validation by NEA with a performance.
Further, the aspiring Director must have no pending administrative and/or criminal charges filed against him or her in relation to his or her position; must submit application letter expressing interest in the lifting of the term of office, certifications or clearances and other documents as required by the screening committee to ensure continuing qualifications, accomplishment report on the cooperative programs and activities and papers containing the comparative description of the EC now as against the time prior to incumbency; contributions in making the EC financially, institutionally and technically viable and best practices in the EC to serve as further recommendations to promote good governance, avoid corruption and political intervention, thrive against calamities and protect the rights of member-consumers; must have complete attendance in all NEA mandated seminars and trainings, NEA conducted programs and activities, ERC public hearings, exit conference by NEA, ERC, DOE and COA and official programs and activities held by the EC and must undertake a 3-pronged annual governance survey to be administered by independent directors.
All documents prescribed under the guidelines shall be submitted by the aspiring Director to the screening committee of the EC together with the application to run as Director
The guidelines will take effect 15 days after its filing with the University of the Philippines Law Center pursuant to existing laws, rules and regulations.
The objectives of the revised guidelines for additional term of office of members of the Board of Directors is to provide an opportunity for the interested Director to continue his program direction through the formulation of relevant policies; to allow the interested Director to fully participate in the attainment of the EC’s overall strategic objectives in its mandate and balanced scorecard; and to establish performance measures and encourage peak performance from the EC board.
The Board of Directors is a body composed of representatives elected in every district within the franchise area of electric cooperatives. The election of representatives for a definite and fixed period is a right vested in the member-consumer-owners as provided for in the cooperative by-laws. The present guidelines provide for a term of 3 three years for elected members of the Board of Directors and entitlement to 2 consecutive re-elections.