ALABEL, SARANGANI PROVINCE — The National Employees Union (NEU) of the Department of Education–Sarangani has formally endorsed the proposed joint venture between electricity giant Manila Electric Company (MERALCO) and the South Cotabato Electric Cooperative II (SOCOTECO II), saying the deal could stabilize and modernize the struggling power distributor.
In a recent general assembly, NEU provincial chapter president Romeo Lawa Martin said the union—composed of non-teaching personnel including supervisors, specialists, doctors, nurses, rank-and-file staff, and support workers—approved a resolution backing the joint venture, citing SOCOTECO II’s worsening financial condition and rapidly deteriorating infrastructure.
The resolution, titled “Resolution Endorsing the Proposed Joint Venture Partnership of Manila Electric Company (MERALCO) with South Cotabato Electric Cooperative II (SOCOTECO II)”, stresses that SOCOTECO II is cash-strapped, burdened with mounting debts, and urgently needs capital expenditure to keep pace with rising power demand in its franchise area.
SOCOTECO II currently serves General Santos City, the seven municipalities of Sarangani Province, and the South Cotabato towns of Polomolok and Tupi—an area experiencing significant load growth from households, industries, and expanding commercial zones.
Martin said the cooperative’s aging substations, worn-out distribution lines, and lack of modern technology now pose risks to service reliability.
“The Union finds the proposal of MERALCO to be sound and advantageous to the member-consumers of SOCOTECO II, industries, and the entire local economy,” he emphasized.
SOCOTECO II has been under scrutiny in recent months as member-consumers accuse the cooperative of withholding key financial and operational information. It reportedly holds multi-billion-peso loans from the National Electrification Administration (NEA) and other financing institutions, fueling doubts about its viability.
Consumer groups have repeatedly demanded full transparency, accountability, and public disclosure regarding SOCOTECO II’s financial status and its ongoing talks with private power firms.
MERALCO is not the only company eyeing SOCOTECO II. MORE Power, owned by billionaire Enrique Razon, and Aboitiz Power have also signaled interest in a takeover or partnership.
However, member-consumers say they have not been informed about the comparative advantages, terms, or long-term implications of each proposal — prompting speculation, uncertainty, and growing frustration.
As SOCOTECO II’s financial strain deepens and electricity demand in its service area continues to surge, pressure is mounting on the cooperative to choose a partner — or risk further service instability that could undermine the region’s economic growth.