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Politico-economic determinants of the performance of electric cooperatives in the Philippines

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  • Escresa, Laarni C.
  • Glova, Adrian Matthew G.

Abstract

In rural areas in the Philippines, ensuring access to affordable, reliable, and sustainable electricity falls mainly to electric cooperatives (ECs). While this electrification model proved successful in the United States, developing countries with weak political competition and institutions may allow rent-seeking behavior in the sector. This paper examines the politico-economic determinants of EC performance in the Philippines and finds that lower political competition within an EC franchise area is associated with poor collection efficiency and larger employee size. The study points to the need for greater regulatory scrutiny among EC franchise areas with weak political competition. It also provides insights on facilitating progress towards attaining sustainable development goals and energy transition in developing countries with similar institutional endowments.

Suggested Citation

  • Escresa, Laarni C. & Glova, Adrian Matthew G., 2024. "Politico-economic determinants of the performance of electric cooperatives in the Philippines," Utilities Policy, Elsevier, vol. 91(C).
    • Handle: RePEc:eee:juipol:v:91:y:2024:i:c:s0957178724001085
    DOI: 10.1016/j.jup.2024.101815
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    References listed on IDEAS

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    1. Carlos L. Vega & Jestoni A. Olivo & Antonio Miguel S. Ventura & Eirene Gillian M. Reyes, 2025. "Competition Considerations in Change Ownership Reforms for Electric Cooperatives," UP School of Economics Discussion Papers 202504, University of the Philippines School of Economics.

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