PANABO CITY — The partnership between Anflo Industrial Estate (AIE) and Davao Light and Power Co. continues to support Panabo City’s industrial growth as manufacturers and other large-scale investors expand their operations.
Damosa Land Inc. President Ricardo “Cary” Floirendo Lagdameo said reliable, affordable electricity remains a key requirement for companies considering locating in the 63-hectare industrial estate.
“If there was no power or no good power and no affordable power, then we would not have any investors. Without investors, there would be no additional employment,” Lagdameo said during a media briefing Tuesday, Aug. 25.
He said Damosa Land and Davao Light have worked together since AIE began operations in 2015, with the partnership expanding as demand for industrial space and electricity increased.
“We have been working with Davao Light since the start of the industrial park,” Lagdameo said.
The estate’s initial power capacity was sufficient when operations began, but existing locators have since expanded while new companies have joined the industrial park.
“Our locators also continue to grow in size and in scope. So, there was a need to ensure that there was even more power supply,” Lagdameo said.
In response, Davao Light developed the 10-megavolt-ampere San Pedro Substation to provide additional capacity for existing and prospective locators. The second phase will add another 33 MVA by December 2027.
AIE currently hosts about 25 locators engaged in agricultural processing, packaging, solar panel manufacturing and pallet production. Several companies process locally sourced bananas, rubber and coconuts, while others export finished products.
Lagdameo said Damosa Land continues to discuss potential investments with companies in fast-moving consumer goods, food manufacturing and agricultural processing. Depending on their space requirements, the estate could eventually accommodate 30 to 35 locators.
Stable electricity remains one of the first concerns raised by prospective investors, he said, because factories cannot operate without reliable power.
“One of the first na tinatanong sa amin is kung stable yung power and magkano yung power. That is because a factory cannot operate without power,” Lagdameo said.
Investors also consider logistics and manpower costs, but reliable power remains a basic requirement before they commit to an industrial site, he said.
AIE currently employs nearly 2,000 workers. Damosa Land expects employment to increase to 4,000 to 5,000 once the industrial estate reaches full capacity.
“Over the next few years, we expect that this number will go up to about 4,000 to 5,000 employees pag napuno na yung industrial park,” Lagdameo said.
He said manufacturing investments also create jobs and business opportunities beyond the estate as factories generate demand for suppliers, logistics firms, transportation services, restaurants, canteens, convenience stores, and other small businesses.
“Pag may factory, parang times four or times five yung economic impact,” Lagdameo said. “Yung mga suppliers mo, logistics, at yung mga restaurants na itatayo sa city. So malaki impact talaga.”
He said the multiplier effect also reaches micro and small businesses that provide transportation, food, retail, and other daily services to workers and companies inside the estate.
Damosa Land estimates that it and its locators have invested about P8.5 billion in the industrial park since 2015.
“Ang estimate namin siguro umabot na sa about P8.5 billion ang na-invest dito sa industrial park,” Lagdameo said.
He said the continued entry and expansion of manufacturing companies could further increase employment and economic activity in Panabo City, while reliable infrastructure would help sustain those investments.
Davao Light Senior Assistant Vice President for North Davao Arnel Bersabe described the relationship between the power distributor and the industrial estate as mutually beneficial, with investments in one supporting growth in other parts of the local economy.
“It’s a symbiotic relationship. It’s a win-win relationship,” Bersabe said.
He said Davao Light studies projected electricity demand, consumption, and investment activity and coordinates with local government planning offices to anticipate future infrastructure needs.
Lagdameo said the San Pedro Substation reflects AIE’s continued growth and provides the additional capacity needed to accommodate future investors.
“Because of your investment, Davao Light has also decided to invest even more to make sure that the power situation here is constant and stable,” he said.
He said Panabo City shows how infrastructure, private investment, and local government support can work together to advance industrial development in Davao del Norte.
“Here sa Panabo City, and with the cooperation also of the LGU, in the barangays here, we have been able to advance industrialization dito sa Davao del Norte,” Lagdameo said. “And the biggest, or one of the biggest pieces of that, is power.” ACA
