Davao Light Reaffirms Legal Mandate in Samal Amid Ongoing Power Dispute
In a firm statement released on March 9, 2026, Davao Light and Power Company (Davao Light) has reiterated its authority to operate in the Island Garden City of Samal (Igacos), calling on Northern Davao Electric Cooperative, Inc. (Nordeco) to stop disseminating what it describes as misleading information. The clarification, provided to SunStar Davao, comes as tensions escalate over power distribution rights on the island.
Legal and Regulatory Backing for Davao Light's Operations
Davao Light emphasized that its mandate to serve electricity consumers in Samal is supported by multiple legal and regulatory frameworks. Key among these is Republic Act 12144, which expanded the company's franchise area to include Samal. This law has been upheld by a unanimous ruling from the Supreme Court of the Philippines, affirming its constitutionality and validity.
Additionally, the company cited a writ of possession issued by the Regional Trial Court, covering all electric distribution assets in Igacos. This is complemented by a Provisional Certificate of Public Convenience and Necessity (CPCN) granted by the Energy Regulatory Commission (ERC), authorizing Davao Light to commence services in Davao del Norte, including Samal, and Davao de Oro.
Ground Developments and Infrastructure Transition
Davao Light highlighted that tangible progress has already been made on the ground. In February, the company officially installed distribution poles in Samal, marking the beginning of the transition in power infrastructure. This move signals a shift towards operational readiness for the island's electricity needs.
Further strengthening its position, Davao Light has entered into an exclusive power supply agreement with Phil-Power Ventures, effective February 25. Under this contract, electricity generated by Phil-Power Ventures is now designated for distribution to households and businesses in Samal, reinforcing Davao Light's commitment to reliable service.
Call for Cooperation and Respect for Legal Resolutions
In its statement, Davao Light urged Nordeco's management and board to cease spreading misleading information and to accept the transition mandated by RA 12144. The company emphasized the importance of respecting the Supreme Court's resolution and the orders from the RTC and ERC, advocating for a peaceful and orderly shift in services for the community's benefit.
Davao Light encouraged residents to follow official announcements as it collaborates with authorities to ensure a stable transition, underscoring its legal and operational responsibility to provide dependable electricity to Samal's residents and businesses.
Nordeco's Counterclaims and Pending Legal Motions
The clarification from Davao Light follows Nordeco's advisory to its member-consumer-owners in Samal, advising them to continue settling electricity bills with the cooperative. In a March 6 advisory, Nordeco maintained its status as the lawful power distribution utility, citing its congressional franchise valid until 2033.
Nordeco argued that its operations are protected under Section 11, Article XII of the 1987 Constitution, referencing jurisprudence involving electric cooperatives in Iloilo City and MORE Electric and Power Corporation to suggest that multiple franchises can coexist in the same service area.
Nordeco has filed several motions in court, including a motion for reconsideration on February 6, 2026, challenging the writ of possession, and an omnibus motion on February 20, 2026, seeking to lift the notice to vacate and the writ of possession. On February 25, 2026, the cooperative filed a motion for a status quo order to halt further implementation of the turnover pending resolution of legal issues.
The cooperative stressed that these motions remain unresolved and should have been addressed before asset transfers to Davao Light. However, Fermin Edillon, Davao Light Reputation Enhancement Head, countered in an online interview, stating that the writ of possession is enforceable unless restrained or reversed by a competent court, asserting that legal procedures have been followed.
