Prospects And Challenges of Energy Sector Privatization: A Case Study of the National Power Corporation in an Off-Grid Philippine Province

Abstract

This study developed a transition blueprint for the potential privatization of the National Power Corporation (NPC) in Romblon, Philippines. Using a convergent mixed-methods design, it integrated perceptions from NPC employees and the ROMELCO Board in non-privatized Romblon with the lived challenges faced by NPC personnel in already privatized regions of Mindoro and Tablas. Findings revealed that Romblon stakeholders perceived privatization positively in terms of accountability (WM=3.72) and its potential to attract investment for modernization (WM=3.87), but expressed uncertainty regarding consumer-level transparency and job security. Qualitative data from privatized areas highlighted significant challenges in regulatory compliance, workforce transition, and financial sustainability. The study concludes that a successful transition requires a context-sensitive approach anchored on robust stakeholder engagement, regulatory harmonization, and strong social safety nets. The resulting blueprint offers evidence-based recommendations for policymakers considering privatization or Public-Private Partnership (PPP) models for NPC in island provinces.