Nordeco supporters rally in Davao, Tagum vs. HB 11072

Thousands of supporters and members of Nordeco hold simultaneous peace rally in Davao, Tagum cities to oppose newly-approved House Bill 11072
Progressive groups stage a peace rally at Freedom Park, Roxas Avenue, Davao City, on Tuesday morning, February 4, 2025, to protest the expansion of Davao Light and Power Company (Davao Light) into areas being served by the Northern Davao Electric Cooperative Inc. (Nordeco). The rally follows the approval of House Bill (HB) 11072 on Monday in its third reading, expanding Davao Light's coverage into Tagum City, the Island Garden City of Samal, and the towns of Asuncion, Kapalong, New Corella, San Isidro, and Talaingod in Davao del Norte, as well as Maco in Davao de Oro.
Progressive groups stage a peace rally at Freedom Park, Roxas Avenue, Davao City, on Tuesday morning, February 4, 2025, to protest the expansion of Davao Light and Power Company (Davao Light) into areas being served by the Northern Davao Electric Cooperative Inc. (Nordeco). The rally follows the approval of House Bill (HB) 11072 on Monday in its third reading, expanding Davao Light's coverage into Tagum City, the Island Garden City of Samal, and the towns of Asuncion, Kapalong, New Corella, San Isidro, and Talaingod in Davao del Norte, as well as Maco in Davao de Oro.David Ezra Francisquete/SunStar Photo
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SEVERAL progressive groups and supporters, members, consumer-owners, and employees of Northern Davao Electric Cooperative, Inc. (Nordeco) simultaneously staged peace rallies at Freedom Park, Roxas Avenue, Davao City, and at the Trade Center Pavilion in Tagum City on Tuesday morning, February 4, 2025.

With the theme "Hiniusang Panawagan sa Hustisya Alang sa Electric Coop. Panaghiusa Batok House Bill 11072," participants of the rally voiced strong opposition to Senate Bill 2888 and House Bill 11072, which seek to grant Davao Light and Power Company (Davao Light) franchise rights over areas currently served by Nordeco.

Nordeco Acting General Manager Elvera S. Alngog reiterated the cooperative’s appeal to President Ferdinand Marcos Jr. to veto House Bill 11072, which was passed on Monday, February 3, on the third and final reading, citing legal and constitutional violations.

“We appeal to our good President to veto House Bill 11072 as this is a matter of significant legal and constitutional importance," Alngog said. "In the same principles that enlightened President Marcos to veto then House Bill 10554, we believe that his opposition this time around is a manifestation of his rational leadership as the highest public official of this country.”

She further stressed that Nordeco’s franchise remains valid until 2028 for the mainland and 2033 for the Island Garden City of Samal and allowing Davao Light to take over before the franchise expires violates the constitutional provision on the non-impairment of contracts and the Electric Power Industry Reform Act (Epira).

Protesters’ sentiments

The rally in Davao City was led by United Dabawenyo and Bantay Kahayag, where they collectively urged the president to urgently reject the legislation sponsored by Senator Juan Miguel Zubiri, fearing that this move could lead to rising electricity costs and further burden the Dabawenyos.

“Makasubo nga huna-hunaon nga gi-aprubahan gyud sa Senate ang House Bill sa Kongreso. Unsa may implikasyon ani sa mga Dabawenyos? Kung unsa man ang mga ma-incur nga mga expenses ni Davao Light sa iyahang pagsakop sa franchises sa Nordeco, kini siya kay tungod private company ang Davao Light, ang mahitabo ani is mudako gyud ilang income,” one of the organizers of United Dabawenyo, who requested to remain anonymous, said in an interview with SunStar Davao.

(It’s saddening to think that the Senate actually approved the House Bill in Congress. What will this mean for the people of Davao? Any expenses Davao Light may incur in taking over Nordeco's franchises are because Davao Light is a private company, and as a result, their income will definitely increase).

House Bill (HB) 11072 grants the third-largest utility company in the country, owned by Aboitiz Power Corporation, a 25-year franchise and expand its coverage to include Tagum City, the Island Garden City of Samal, and the towns of Asuncion, Kapalong, New Corella, San Isidro, and Talaingod in Davao del Norte, as well as Maco in Davao de Oro.

Another protester who described the electric company as an “oligarchic and profit-centered business”, also expressed that, instead of expanding into other jurisdictions, Davao Light should focus on addressing the existing electricity issues within Davao City. He emphasized the importance of improving the quality of service in the city’s vulnerable and mountainous areas, where residents face ongoing challenges with electricity access.

“Kung unsa man ang mga pagsaka og kuryente didto, ma-apektohan ang mga taga-Davao. Unsa may mga panginahanglan nato diri, ma-apektohan ang mga taga-Davao. Unta ang Davao Light, atimanon nalang ang Davao City kay naa pay daghan bahin sa bukid nga wala pa nasugaan, sama na lang sa Paquibato ug Marilog districts,” he added. 

(Any increases in electricity rates there will affect the people of Davao. Whatever our needs are here, the people of Davao will suffer. I hope Davao Light will focus on taking care of Davao City, as there are still many areas in the hinterlands, like the Paquibato and Marilog districts, that have no electricity).

Meanwhile, in Tagum City, over 1,500 protesters composed of members and/ or supporters of Task Force Northern Davao Power -National Electrictrification Administration (TFNDP/NEA), EC allied groups such as Coalition Against Privatization of Electric Cooperatives (CAPECs); National Center of Electric Cooperative Consumers, Inc. (NCECCO)-Northern Davao Chapter United Daneco Employees Welfare Association (Udewa) Akbayan-Davao del Norte Chapter, Nordeco for People Ownership of Electricity Rights (N-Power), Friends of CAPECs, and Freedom from Debt Coalition-Southern Mindanao, joined in the peace rally.

Rev. Angelico F. Cofreros Jr., chairman of the Coalition Against Privatization of Electric Cooperatives (CAPECs), emohasized the importance of protecting NORDECO’s franchise.

“Kami sa Coalition Against Privatization of Electric Cooperatives, mibarog lang sa hustisya ug katarong... Ang CAPECs mibarog aron suportahan ang Nordeco tungod kay ang franchise sa Nordeco mo-end pa karong 2028. Usa ka na kalapastangan sa atong nasud nga Pilipinas nga balaud ug ang franchise sa Nordeco,” Cofreros said.

Rey Baliguat, spokesperson of Nordeco for People Ownership Electricity Rights (N-Power), echoed the same sentiment, emphasizing the cooperative’s role in serving far-flung communities.

“Ang among barog sa N-Power, hugot ang amoang suporta sa Nordeco tungod kay nakita namo nga ang Nordeco dako ang nahimo nga mga serbisyo labi na ngadto sa mga kabukiran ug sa mga hilit na dapit,” Baliguat said.

Proposed bill’s dangers

Nordeco warned that the expansion of Davao Light’s franchise could set a dangerous precedent that undermines rural electrification efforts. The cooperative highlighted that over 80,000 households in 631 sitios under Nordeco’s jurisdiction remain unelectrified. It questioned Davao Light’s capability to prioritize rural areas, noting that 19 percent of its current franchise areas in Davao City remain unenergized even after nearly a century of operation.

Udewa Vice President Ryan Val A. Tiago also expressed concerns over the potential privatization of the cooperative and its impact on consumers.

“Isip miyembro sa Udewa, isa lang gyud ang amoang gibarogan, ang atoang electric cooperatives dili gyud ni siya sa mga private nga mga company, kundili alang gyud ni siya sa katawhan (As a member of Udewa, we only stand on one ground, and that is our electric cooperatives are not for private companies but fo the people),” Tiago said.

He also raised concerns about rising electricity rates should Nordeco be replaced.

“Naglisod na gani sila sa mga balayrunon diha sa ilahang kuryente nga kooperatiba ang nagkuha. What if nalang kaya kung mahimong pribado? Ang mahitabo niana, mas musaka pa jud ilang mga balayrunon (Consumers are already struggling with their electric bills when they are served by an electric cooperative, how much more if it is already by a private company? Their bill will surely increase if that happens),” he added.

Aside from consumer concerns, Nordeco emphasized that the bill threatens around 800 employees who risk losing their jobs.

Widespread support

With the rally drawing widespread support from electric cooperatives and consumer groups, Nordeco reaffirmed its commitment to uphold rural electrification and resist what it describes as a move that prioritizes corporate interests over public welfare.

On January 30, Nordeco sent an open letter to Marcos Jr., voicing strong opposition to Senate Bill No. 2888 or HB No. 11072.

In a post shared on its official Facebook page, the cooperative expressed deep concern about the legal measure, calling it “entirely unconstitutional” and would result in higher electricity prices for consumers.

Statement of bill’s advocate

Meanwhile, in a statement, the Davao Consumers Movement (DCM), an advocate of the bill, claims that the passage of Senate Bill No. 2888 (House Bill No. 11072) is another victory for the people of Davao del Norte and, now, including Davao de Oro.

“We are one step closer to achieving a brighter future for the provinces of Davao del Norte and Davao de Oro. It should be noted that the improved bill leaves no one behind as it not only includes the rest of Davao de Oro, but it also ensures that the qualified employees of the Northern Davao Electric Cooperative (Nordeco ) will be absorbed by Davao Light,” DCM said.  

“We believe that with a more capable power distributor, those living in the areas served by Davao Light will be able to enjoy affordable and reliable power. This will mean better opportunities for businesses and investors. Residents will also be able to enjoy more savings as power rates are expected to be lower compared to the current rates of the Nordeco,” it added.

It, however, acknowledged that the final hurdle to their victory is the signature of President Ferdinand Marcos, thus it is now calling on the President to “help us finally secure a brighter future.”

No electricity increase

In December 2024, Davao Light Head Enriczar T. Tia reassured the public during an interview with Sunstar Davao that despite consumer concerns, the expansion of Davao Light’s service area would not lead to a rise in electricity rates. 

Tia explained that, on the contrary, the rates were expected to decrease, emphasizing that the expansion would not affect the existing rates for Davao Light customers. He further noted the new arrangement in reference to the data from the Energy Regulatory Commission (ERC) presented during multiple Senate hearings would actually lower rates for Nordeco’s customers. DEF, KBP

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