Malacañang on Wednesday said two electric cooperatives have been granted fresh 25-year congressional franchises to distribute electricity in 20 municipalities across Laguna and Camarines Sur, under newly signed laws aimed at strengthening power distribution in underserved areas.

Under Republic Act (RA) No. 12278, the First Laguna Electric Cooperative, Inc. (FLECO) was authorized to construct, operate, and maintain power distribution systems in the following Laguna towns: Cavinti, Pagsanjan, Lumban, Kalayaan, Paete, Pakil, Pangil, Siniloan, Famy, Mabitac, and Sta. Maria.

Meanwhile, RA No. 12277 granted a similar 25-year franchise to the Camarines Sur IV Electric Cooperative, Inc. (CASURECO IV) for operations in Ocampo, Tigaon, Sagñay, Goa, San Jose, Lagonoy, Presentacion, Garchitorena, and Caramoan.

The franchises authorize both cooperatives to conduct necessary excavations in public areas for the installation of electric poles and infrastructure, subject to the approval of the Department of Public Works and Highways (DPWH).

However, strict provisions are in place to ensure accountability.

“If the grantees fail to repair any highway, road, street, lane, alley, avenue, sidewalk, or bridge they have altered within 10 days, the DPWH or the concerned local government unit shall undertake the repair and replacement and charge the grantees double the cost and expenses incurred,” both laws stated.

The Energy Regulatory Commission (ERC) is tasked with regulating the retail rates and charges imposed by FLECO and CASURECO IV, ensuring fair pricing and service standards for consumers.

To maintain transparency and congressional oversight, the laws mandate that the two electric cooperatives submit annual operational reports to both the Senate and the House of Representatives by April 30 each year.

Failure to comply will result in a penalty of P500 per working day of non-compliance.

The franchises aim to promote rural electrification, improve service delivery, and ensure reliable access to electricity in the covered areas, supporting broader development goals in the regions of Calabarzon and Bicol.