Efficiency and Performance Dynamics of Member-Owned Electric Cooperatives: Insights from SURNECO, Philippines

This study evaluated the efficiency and performance dynamics of the Surigao del Norte Electric Cooperative (SURNECO), a member-owned electric utility in the Philippines, using the principles of the International Cooperative Alliance (ICA) and the performance assessment framework of the National Electrification Administration (NEA). Employing a descriptive-evaluative research design, the study involved 780 respondents proportionately selected through Slovin’s formula. Data were collected using validated questionnaires and analyzed through descriptive statistics, Pearson correlation, and analysis of variance (ANOVA). Results revealed a moderate level of organizational efficiency and a moderately high level of organizational performance, with voluntary and open membership obtaining the highest rating, while member economic participation and democratic control were rated lowest. Technical performance was rated higher compared to financial and governance parameters. A strong positive correlation between efficiency and performance was observed, highlighting that improved adherence to cooperative principles enhances organizational outcomes. Significant differences were noted when respondents were grouped by consumer classification and consumption level. These findings emphasize the need to strengthen governance mechanisms, enhance member participation, and adopt technology-driven solutions to improve operational efficiency and service reliability, ensuring the cooperative’s sustainability and continued contribution to community development. Keywords: Organizational Efficiency, Organizational Performance, Member-Owned Cooperatives, SURNECO, Cooperative Principles, NEA Performance Assessment, Rural Electrification