Republic of the Philippines
National Electrification Administration

December 2005

INSTITUTIONAL ADVISORY NO. 03

Subject:  EC BOD:  The Governing Body of Electric Cooperatives
Today’s changing environment necessarily requires the Board of Directors (BOD) of electric cooperatives (ECs) to have a stronger, more transparent understanding of their role as the governing body of ECs, if they are, in concert with Management, to effectively fulfill the objectives of the cooperative.  The Board is charged with the responsibility to establish the climate for achievement by employing competent managers and overseeing their performance.  They are NOT directly responsible for management administration or operations.

Republic of the Philippines
NATIONAL ELECTRIFICATION ADMINISTRATION

BULLETIN
NO. 35
June 1990

FUNCTIONS AND RESPONSIBILITIES OF THE REC
BOARD OF DIRECTORS

The duties and responsibilities of the REC Board of Directors encompass the following:

A.  POLICY-MAKING FUNCTIONS

1.    Sets the over-all goals and objectives of the cooperative consistent with NEA’s program thrusts and directions.
2.    formulates and adopts, in  consultation with the General Manager, policies and guidelines that will govern the sound management and operations of the REC especially in the areas of system improvement and expansion, rates and service, finance, personnel administration and development, member and community relations.
3.    Adopts, in consultation with the General Manager, the annual work plan as well as the medium and long-term work programs of the cooperative.
4.    Reviews existing REC policies and authorizes the revision of such in response to current needs and in conformity with the new NEA policies, rules and regulations.