ISLAND GARDEN CITY OF SAMAL(March 10) — A growing power struggle between Davao Light and Power Company and Northern Davao Electric Cooperative Inc. (Nordeco) is leaving residents and businesses in the Island Garden City of Samal facing confusion over who actually controls electricity service on the island.
In a March 9 statement, Davao Light accused Nordeco of spreading “misleading information” after the electric cooperative advised consumers in Samal to continue paying their electricity bills to Nordeco despite ongoing efforts to transfer distribution operations to the private utility.
The dispute stems from Republic Act 12144, a law that expanded Davao Light’s franchise area to include Samal and parts of Davao del Norte and Davao de Oro. The law’s validity has already been upheld by the Supreme Court of the Philippines, according to the company.
Davao Light also cited a writ of possession issued by a Regional Trial Court and a provisional Certificate of Public Convenience and Necessity granted by the Energy Regulatory Commission (ERC), which it said legally authorizes the company to begin operating and taking over distribution assets on the island.
The utility said groundwork for the transition has already begun, including the installation of distribution poles in Samal in February. It also confirmed that an exclusive power supply agreement with Phil-Power Ventures Inc. took effect on February 25 to provide electricity for households and businesses on the island.
Davao Light urged Nordeco’s leadership to accept what it described as a “necessary, peaceful and purposeful transition” in line with the law and court orders.
Consumers caught in the crossfire
Nordeco, however, insists the takeover remains legally contested and has told its member-consumer-owners in Samal to continue paying their electricity bills to the cooperative.
The cooperative says its congressional franchise remains valid until 2033 and that its operations are protected under Section 11, Article XII of the 1987 Philippine Constitution.
Nordeco also pointed to past legal disputes involving power distribution in Iloilo City, particularly the case involving MORE Electric and Power Corporation, arguing that court rulings in that case show distribution franchises can coexist in the same service area.
The cooperative has filed several motions before the Panabo court seeking to stop or delay the transfer of power assets to Davao Light, including a motion for reconsideration of the writ of possession and a request for a status quo order.
Nordeco said these motions remain unresolved, raising questions about why the turnover of assets was allowed to proceed while legal challenges are still pending.
Court order still enforceable, says Davao Light
Davao Light dismissed Nordeco’s position, saying the writ of possession remains legally binding unless reversed by the courts.
“The writ, a valid court order, was implemented according to legal procedures and remains enforceable unless restrained or reversed by a competent court,” said Fermin Edillon, the company’s reputation enhancement head.
Bigger questions over power control
Beyond the legal battle, the dispute has sparked broader concerns among Samal residents about transparency, service reliability, and potential impacts on electricity rates as control over the island’s power distribution shifts.
Community leaders and consumer groups have also raised concerns about the lack of clear information for consumers, with competing advisories from the two utilities creating uncertainty over billing, service responsibilities, and the long-term implications of the takeover.
As legal motions remain pending and infrastructure changes continue on the ground, the question of who ultimately controls Samal’s power grid—and how it will affect consumers—remains far from settled.
