DAVAO CITY (MindaNews/Apr 10) — The Northern Davao Electric Cooperative, Inc. (NORDECO) has announced plans to pursue legal action following the enactment of a law that reallocates parts of its franchise areas to the Davao Light and Power Company (DLPC). NORDECO stated that Republic Act No. 12144 violates its existing franchises, which it claims remain valid under Presidential Decree No. 269, the Electric Power Industry Reform Act (EPIRA), and the National Electrification Administration (NEA) Reform Act, deeming the new law unconstitutional. R.A. 12144, which took effect on April 6, 2025, reassigns franchise areas in Tagum City, the Island Garden City of Samal, and several municipalities in Davao del Norte and Davao de Oro to DLPC. The law lapsed into effect after President Ferdinand Marcos Jr. did not act on it within the 30-day constitutional deadline. NORDECO criticized the law for lacking proper consultation and regulatory procedures, warning it could undermine the legal framework of electric cooperatives nationwide. The cooperative vowed to defend its franchises and called for support from its member-consumer-owners. NORDECO serves over 80,000 households in 16 municipalities and two cities across Davao del Norte and Davao de Oro, including areas now set to transition to DLPC. DLPC, led by President and COO Enriczar Tia, expressed plans to approach the transition with empathy, acknowledging potential resistance. The Davao Consumer Movement, advocating for DLPC’s expansion, welcomed the law as a step toward improved electric service, countering NORDECO’s claims of unconstitutionality by citing a Supreme Court ruling that electric cooperatives lack exclusive rights to franchise areas. DLPC, an Aboitiz-led company, currently serves Davao City, Panabo City, and parts of Davao del Norte, boasting lower brownout durations compared to NORDECO, according to Department of Energy data. (Ian Carl Espinosa / MindaNews)
