DAVAO Light and Power Co. Inc. (Davao Light) welcomes the recent ruling of the Supreme Court of the Philippines dismissing the petitions filed by the Northern Davao Electric Cooperative, Inc. (NORDECO) challenging the constitutionality of Republic Act No. 12144.
Republic Act No. 12144, which grants and expands the franchise authority of Davao Light to operate and maintain an electric distribution system in the designated areas, was duly enacted by Congress and signed into law. The law expressly authorizes the Utility Company to construct, install, establish, operate, and maintain facilities for the distribution of electric power within its expanded coverage areas. It further provides for regulatory oversight by the Energy Regulatory Commission to ensure that operations, rates, and services remain compliant with existing laws and standards.
In dismissing the petitions, the Supreme Court effectively affirmed the presumption of constitutionality accorded to acts of Congress and recognized the validity of the expanded franchise granted under Republic Act No. 12144. The Court’s decision not to issue a temporary restraining order allows the law to move forward as planned and enables the company to carry out the responsibilities granted under it.
While the Company acknowledges NORDECO’s position regarding its existing franchise, the law clearly provides for an orderly transition, rather than a permanent overlap of distribution services within the same areas.
"We look forward to the opportunity of meeting with NORDECO to discuss the transition process. We aim to work collaboratively to ensure an orderly handover of services and a seamless experience for consumers in the expanded franchise area," Davao Light President and COO Enriczar Tia said.
Davao Light remains steadfast in carrying out our mandate in accordance with the Constitution, existing statutes, and regulatory rules. Its priority is to ensure continuity of electric service, uphold legal processes, and work toward service improvements for the benefit of the communities within its franchise area.
- Davao Light