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The Board of Directors of Batangas II Electric Cooperative, Inc. (BATELEC II) has approved the use of a competitive selection process (CSP) to govern the evaluation of proposals for private sector participation in its distribution utility business.
The cooperative said the framework aims to promote transparency, fairness, competitiveness and equal opportunity among prospective private sector partners while ensuring compliance with existing laws and regulations.
Under the board resolution, BATELEC II's Technical Working Group has been directed to prepare the Terms of Reference for the CSP in accordance with Presidential Decree No. 269, as amended, National Electrification Administration Board Resolution No. 88, Series of 2002, and other applicable rules.
BATELEC II said the governance framework was established before the preparation of the bidding rules to ensure that the selection process is clearly defined before proposals are received and evaluated.
The cooperative also emphasized that any partnership involving cooperative assets, property or franchise will remain subject to approval by its member-consumer-owners through a referendum whenever required by law.
According to BATELEC II, strategic partnerships are being explored by many electric cooperatives to strengthen operations and improve service quality. It said the newly adopted framework integrates strategic planning, competitive selection, regulatory compliance and member participation into a single governance process.
The cooperative added that the approach is intended to demonstrate that private sector participation can be pursued while preserving cooperative governance principles and protecting the rights of member-consumers.