MANILA, Philippines—Senator Raffy Tulfo stated most of the earnings of the country’s power grid operator went to its shareholders while only five percent of its income was allotted for development projects.
He said this is based on information reaching him.
The National Grid Corp. of the Philippines (NGCP) is 40% owned by the State Grid Corporation of China while the remaining 60% of its shares belonged to Filipino businessmen led by Henry Sy Jr. and Robert Coyiuto Jr.
“Nakarating po sa akin na 95 percent ng kita po ng NGCP, napupunta po sa dibidendo and only 5 percent ang nire-reinvest sa development. What the F?” Tulfo said during the hearing of the Senate committee on energy on recent power outages experienced in the provinces of Panay Island and Occidental Mindoro.
(It has come to my attention that 95 percent of NGCP’s earnings go towards dividends, and only 5 percent is reinvested in development. What the F?)
“Bakit po ganun? Puro pagkakamkam po ng salapi ang nasa utak po ninyo dyan sa NGCP. Wala na ho kayong concern sa kapakayanan ng bayan? Bakit po, totoo po ba yun, 95 percent? Correct me if I’m wrong. O baka 98?” the panel head also asked.
(Why is it like that, all you have in mind at NGCP is to earn money. Don’t you have any concern for the welfare of the nation? Why is that, is it true, 95 percent? Correct me if I’m wrong. Or maybe 98?)
NGCP, through its corporate secretary Ronald Dylan Concepcion, could not, however, confirm this during the hearing but promised to furnish the committee the information as soon as possible
“We’re very interested kasi po yung pera na pinaghati-hatian ninyo ng mga shareholders. Karamihan dyan napupunta lang dun sa ibang bansa,” Tulfo went on.
(We’re very interested because the money that are divided among the shareholders. Most of it just goes to other countries.)
Opposition Senator Risa Hontiveros shared she raised the same question in 2018 about NGCP’s supposed payout to investors amounting to P187.8 billion.
Concepcion said he could not also verify this.
Alarmed by Tulfo’s revelation, Senator JV Ejercito also asked the NGCP to submit to the committee how much money they are spending for development and expansion.
“Nabahala ako dun sa sinabi ng chair na 95 percent ay dibidendo tapos 5 percent lang po for expansion,” Ejercito said.
(I got concerned about what the chairperson said, that 95 percent goes to dividends and only 5 percent for expansion)
NGCP earlier admitted that the delayed transmission projects contributed to the recent widespread power outages.
“The projects could have improved the system, but again, that is only one part of the system. [There are] many opportunities to avoid disturbances,” NGCP’s spokesperson Cynthia Alabanza was earlier quoted as saying.