PHILRECA Urges Equitable Funding to Meet 2028 Rural Electrification Goal
- December 22, 2025
The Philippine Rural Electric Cooperatives Association Inc. (PHILRECA) has called on the national government to ensure sufficient and equitable funding for rural electrification programs, warning that over 1.3 million households remain without access to electricity as the country targets full electrification by 2028.
PHILRECA Executive Director and General Manager Janeene Depay-Colingan said electric cooperatives (ECs) are committed to accelerating connections under the Sitio Electrification Program (SEP) but continue to face challenges in reaching geographically isolated and disadvantaged areas (GIDAs).
“While the Philippines has made significant strides toward total electrification, challenges remain in reaching communities considered geographically isolated and disadvantaged,” Depay-Colingan said.
She cited difficult terrain, limited infrastructure, and high logistical costs as major obstacles to energizing unserved areas.
Strengthening Partnerships and Off-Grid Solutions
To address these gaps, PHILRECA, together with the National Electrification Administration (NEA), is implementing initiatives to boost coordination, optimize funding mechanisms, and deploy modular and renewable energy systems in off-grid locations.
The group is also working with electric cooperative allied organizations (ECAOs) on a program specifically designed for the Bangsamoro Autonomous Region in Muslim Mindanao (BARMM), where electrification rates remain among the lowest in the country.
Depay-Colingan said PHILRECA will present a comprehensive, sector-wide strategy to the NEA, the Energy Regulatory Commission (ERC), and the Department of Energy (DOE) in the coming months, highlighting the need for greater government intervention in Mindanao.
Increased Budget To Help Accelerate Rural Electrification
The NEA said it expects the country’s rural electrification rate to reach 94 percent by next year, with a stronger push to connect households in far-flung areas. Administrator Antonio Mariano Almeda said the agency’s proposed ₱5-billion budget for 2026, potentially rising to ₱9 billion if additional motions are approved, would fund more sitio electrification projects nationwide.
“From ₱2.8 billion, I think we have already doubled to ₱5 billion, not to mention the motions to include an additional ₱4 billion,” Almeda said.
He added that Mindanao, particularly the BARMM, will remain a top priority, alongside unserved communities in northern Luzon and the Negros Island region. As of the end of June, NEA reported that it had completed 584 sitio projects, bringing total energized sitios to 11,014 since 2017 and pushing rural electrification to 90.6 percent.
DOE Sees Targets As Achievable
The DOE, meanwhile, maintains that the 2028 goal remains achievable despite limited funds. Energy Secretary Sharon Garin recently said that the country still needs about ₱70 billion to reach full household electrification, with only about ₱5 billion earmarked under the proposed 2026 National Expenditure Program (NEP).
“I think there will be ways to fund that eventually. It’s already being discussed at the Executive Branch where the funds will come from,” Garin said.
According to DOE data, 5.25 percent of Filipino households still lack access to electricity, mostly in Mindanao, where the electrification rate stands at 83.45 percent, compared with 98.84 percent in Luzon and 95.23 percent in the Visayas.
President Ferdinand Marcos Jr. said during his latest State of the Nation Address (SONA) that around 200 new power plants are expected to be completed within three years, with the capacity to serve four million households and thousands of businesses.
Collective Effort Needed
PHILRECA said the goal of total electrification will only be met through the combined effort of government agencies, electric cooperatives, and civil society. By leveraging technology and localized renewable energy projects, the association hopes to make electricity access sustainable and affordable for all Filipino households.
“We must ensure that every Filipino—no matter how remote their community—has access to reliable and affordable electricity,” Depay-Colingan said.
Source:
https://www.philstar.com/business/2025/12/14/2493999/rural-electrification-track-hit-94-nationwidex
