ENTREPRENEURIAL

Road Hazards

by Ambrosio R. Villorente

Some of the hazards on the roads are the vehicles traveling at night without either headlights or rear lights or both. There are more of them in the evening. Moreover, there are motorcycles which are too noisy in the evening until dawn. They disturb people resting, those who are sleeping and those who are sick.

Some of those with lights run high beam. They do not shift their lights to low beam even in a two-way road. This is another hazard. Can the Philippine National Police officers devote even a portion of their time in the evening to advise drivers of vehicles running on the roads without the necessary lights to install light? This will minimize if not totally stop accidents. If they have lights at high beam, shift it to low beam when they meet other vehicles.

Moreover, the police officers will also advise the drivers of motorcycles creating loud noise to change the vehicle muffler to minimize both noise and smoke pollution.

AKELCO Annual General Membership Assembly

Aklan Electric Cooperative (AKELCO) announces the holding of its 32nd Annual General Membership Assembly to be held at ABL Sports Complex, Capitol Site, Kalibo, Aklan at 1:30 in the afternoon, Saturday, June 6, 2015. This year’s theme is “Strengthening The Spirit Of Cooperativism Through Excellent Service.”

Part I of the Annual General Assembly is the arrival and registration of delegates. Part II is opening ceremonies at 1:30 in the afternoon. Ms. May C. Autencio will recognize the delegates and guests. Mr. Wayne T. Malilay, BOD president will deliver the opening remarks.

Ms. Edita S. Bueno, NEA administrator will be introduced by Engr. Alfonso D. Alojipan, Jr., BOD member as guest speaker. After her speech, plaque will be presented to Administrator Bueno by Mr. Wayne T. Malilay and Engr. Pedro G. Nalangan IV, OIC-General Manager.

 Part II which is business meeting follows the opening program. BOD Pres. Malilay will preside the meeting. Mr. Rodrigo M. Quimpo – BOD Secretary will read the “Proof Of Due Notice, declare if there is quorum and consider the minutes of the previous AGMA.

Reports of the Board of Directors will be given by BOD Pres. Malilay; Treasurer’s Report by Ms. May C. Autencio – BOD Treasurer; GM’s report by Engr. Pedro G. Nalangan IV. New business will follow such as the adoption of AKELCO’s new logo, open forum and adjournment. There will be raffle draws with big prizes and surprises.

Ms. Sylvia R. Quinesio is the lady dean of ceremonies. 

AKELCO’s FINANCIAL CONDITION

AKELCO has engaged the service of BDO Alba Romeo & Co. of Bacolod City. It has branches in Cagayan de Oro City and Cebu City.

BDO Alba Romeo has audited the Financial Statements of Aklan Electric Cooperative, Inc. which is comprised of the statement of financial condition as of December 31, 2014. The audit included the statement of operations and other comprehensive income, statement of changes in members’ equity and statement of cash loans for the year 2014. Here are the results of the audit reports.

As to its financial condition, AKELCO today has a total assets of P1.199 billion. It increased by P196.5 million compared to 2013 which was only P1.003 billion. The members’ equity amounts to P334.373 million. It increased by 1.4 million compared to the 2013 which was only P332.9 million.

However, while the total AKELCO assets as of December 31,2014 was P1.199 billion, it has equal liabilities of P1.199 billion consisting of members’ equity and non-current and current liabilities. Should the total assets be applied to the total liabilities, nothing remains with AKELCO. Assets is balanced with liabilities.

In the 2014 operations, AKELCO has a comprehensive income of P4,267,604. This is much better compared to its 2013 operation which AKLECO lost P23,964,256. This is well understood as Aklan was terribly devastated by typhoon Yolanda. 

The cost of power represents the major item which cost too much. While AKELCO has collected P2.025 billion revenues in 2014, the huge amount of P1.771 billion was spent for power. Almost 70 percent of AKELCO’s 2014 operation was spent for energy.

This clearly points out to policy makers and planners to develop source of energy from water, solar, land and other local sources to reduce the large amount of money paid for buying electricity.

The data on the “Consumers Meter Deposits Account” was not made available to the auditors which has an outstanding balance of P15,113,493 as of December 31, 2014. This did not satisfy the auditors to the fairness of the reported account balance. 

Moreover, the auditor did not mention anything on “systems loss” which is largely affecting the effective and productive management of AKELCO. For instance AKELCO has spent in 2014 for energy the sum of P1,771,334,245. If the systems loss is 10 percent, therefore of the power purchased, P177,133,424.50 is wasted. This is a huge amount of money that can go a long way if systems loss is limited to one digit figure. As I heard it, systems loss was 11 percent in 2014.

AKELCO being a cooperative is not permitted to pay dividend to members but to plow back any net income to improve AKELCO. It may give benefits to its members by way of cheaper cost of electricity. It may also improve its services like the reduction of black-outs. /MP