The Baguio Regional Trial Court Branch 7 has ordered the release of a part of Benguet Electric Cooperative’s funds deposited at China Savings Bank Baguio branch to pay the obligations of the cooperative with the National Grid Corporation of the Philippines.
In a two-page order promulgated on Nov. 24 furnished to the Baguio Midland Courier, RTC Branch 7 Presiding Judge Cecilia Corazon Archog has directed China Bank to process and allow the withdrawal by Beneco of over P45 million from its account with the bank to be used to pay Beneco’s obligation to NGCP.
The order stemmed from an interpleader civil case filed by China Savings Bank against Beneco Board of Directors appointed general manager Melchor Licoben, National Electrification Administration-appointed GM Ana Maria Paz Rafael, and NEA project supervisor for Beneco Omar Mayo.
An interpleader is a special civil action where whenever conflicting claims upon the same subject matter are or may be made against a person who claims no interest whatsoever in the subject matter, or in an interest which in whole or in part is not disputed by the claimants, he may bring an action against the conflicting claimants to compel them to interplead and litigate several claims among themselves.
Beneco’s accounts with China Savings Bank are among those that were frozen following the Beneco’s leadership conflict, the resolution of which is pending at the Court of Appeals. This has resulted in Beneco failing to pay some obligations to suppliers on time.
The Baguio city council has also been leading the negotiations between the opposing camps in order to avert a power crisis within the service areas of Beneco if it continues to fail to pay its obligations because it cannot access its deposited funds.
In the RTC order, the court noted the motion of Licoben through counsel Delmar Cariño for release of deposit, which stated Beneco was billed the amount of P45,724,054.85 by the NGCP for its regulated transmission charges for October 2022, which must be paid on or before Nov. 25.
The court was also informed Beneco will suffer penalties and face threat of disconnection from the grid if the bill is not duly paid.
The court granted the motion in view of the agreement of the two parties during a Nov. 17 hearing that pending the resolution by the CA on who is the duly appointed manager of Beneco, the electric cooperative shall submit its bills and obligations due to power suppliers accompanied by supporting documents to the court.
Archog also directed Licoben to furnish the court with proofs of payment of the October 2022 NGCP bill within three days upon payment.
NGCP is the operator of the power grid that brings electricity that brings electricity generated by distribution utilities like Beneco to substations.
The transmission charge of NGCP is the second biggest amount paid by power consumers under the unbundled rates as per the Electric Power Industry Reform Act of 2001.
Aside from NGCP, Beneco also has unpaid obligations to its power supplier, Team Energy, among others.
Cariño said they are hoping Beneco’s collections would suffice to cover other bills that become due monthly, although there are six other filed cases in different courts, some of which Beneco initiated, concerning Beneco’s accounts with other banks that have yet to be acted upon. – Hanna C. Lacsamana
April 25, 2024
