Nordeco Corporation affirms commitment despite Davao Light's franchise expansion plans.
In a significant development, Davao Light has commenced operations in Tagum City, marking the formal start of its expanded services in Davao del Norte, following the implementation of Republic Act No. 12144 on April 6, 2025. The law mandates the transfer of electric distribution services from Northern Davao Electric Cooperative, Inc. (Nordeco) to Davao Light in various areas, excluding Panabo City and certain municipalities.
The inauguration of a new 22MVA digital substation and the installation of electric poles in Tagum City on July 8, 2025, signify the beginning of Davao Light's operations in the region. This expansion is expected to bring new economic opportunities to Tagum City, the Island Garden City of Samal (Igacos), and several municipalities in Davao del Norte and Davao de Oro.
However, Nordeco continues to operate as the exclusive electric distribution utility in its remaining franchise areas. Despite the transition, Nordeco is awaiting further discussions with Davao Light regarding the proposed Joint Transition Committee for a smooth handover of operations. It's worth noting that Nordeco has filed a petition with the Supreme Court, which may impact the transition process.
The Davao Consumer Movement views the inauguration as a hopeful start toward a better energy future for Davao del Norte. However, they emphasize that they will remain vigilant, holding Davao Light accountable for the changes brought about by RA 12144. The organization expects Davao Light to follow through on the mandates of the law, warning that continued delays mean continued hardship for consumers.
Nordeco, on the other hand, reassures its Member-Consumer-Owners (MCOs) that its operations remain in full and normal condition. The cooperative urges all involved parties to honor the judicial process and uphold the Constitution by allowing the rule of law to prevail.
The approval of Republic Act 12144, expanding Davao Light's franchise, was a hard-won victory by the people. The Davao Consumer Movement believes that Davao Light must prove that they can be better, following the approval of the law. Despite the ongoing legal dispute, Davao Light is willing to engage in dialogue for the benefit of their stakeholders and to ensure quality power service in the region.
RA 12144 ensures that Nordeco can continue operating for a maximum of two years to prevent disruptions in electricity supply until Davao Light fully takes over. The municipalities included in the expansion are Asuncion, Kapalong, New Corella, San Isidro, Talaingod, Laak, Mabini, Maco, Maragusan, Mawab, Monkayo, Montevista, Nabunturan, New Bataan, and Pantukan.
The municipalities mentioned in the expansion, as well as the consumers in the affected areas, are eagerly awaiting the resolution of the ongoing legal dispute between Davao Light and Nordeco. The future of their energy supply and the economic opportunities that come with it hang in the balance, making the outcome of the Supreme Court's decision crucial for the region's development.
The expansion of Davao Light's operations into Tagum City, as signified by the inauguration of a new digital substation, is anticipated to stimulate finance and business opportunities in Tagum City, the Island Garden City of Samal, and several municipalities in Davao del Norte and Davao de Oro. However, the ongoing legal dispute between Davao Light and Nordeco, regarding the proposed transition committee, may impact the implementation of these business opportunities.