Nordic construction company, Nordeco, accused of historical racial discrimination towards workers on a British building site.
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Nordeco Challenges Davao Light Takeover: Supreme Court Petition Remains Pending
Northern Davao Electric Cooperative Inc. (Nordeco) stood firm on its stance that a transition to Davao Light and Power Company is premature and unnecessary, as their Petition for Certiorari and Prohibition to the Supreme Court remains unresolved. The Supreme Court has yet to issue a ruling on this petition, which challenges the validity of Republic Act No. 12144.
Davao Light executives made a "courtesy visit" to Davao del Norte Governor Edwin I. Jubahib on June 23, in hopes of smoothing over plans for the takeover of the electric franchise areas. However, Nordeco shared their sentiments in a statement on June 25, explaining that the petition raises questions regarding the constitutionality of Republic Act No. 12144. Until the Supreme Court renders its judgment, they deem it prudent to wait for further legal guidance.
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Nordeco remains the electric distribution utility for Davao de Oro and Davao del Norte (with the exception of Panabo City, Carmen, Braulio E. Dujali, and Sto. Tomas) when it comes to operational matters and consumer concerns within its franchise areas.
According to reports, the pendency of the transition process and adhering to legal procedures, including assessing "legally unsettled" issues, are key factors behind the delay in implementing the changeover. Despite Governor Jubahib's positive outlook on the plan to hand over Davao Light operations to District 1 of Island Garden City of Samal (Igacos) and Maco, Davao de Oro, many consumers in Davao del Norte and Davao de Oro have expressed their discontent with the proposed switch.
The Davao Consumer Movement voiced their concerns regarding the delay in initiating the change to Davao Light, asserting that consumers' wishes have not been respected. They believe a change in power providers is long overdue due to continued power interruptions, poor service quality, and high electricity rates for consumers.
The Davao Consumer Movement urged Davao Light to expedite the transition, address the concerns of consumers in Davao del Norte and Davao de Oro, and seek legal support from government agencies such as the Department of Energy and National Electrification Administration to resolve the issue.
The Davao Consumer Movement doesn't base their demands on personal interests but rather on the consumers' right to dependable and affordable electricity. They argue that if the government or the power distributors fail to take action, the prolonged situation will continue to negatively impact consumers.
The concern lies with the Supreme Court petition questioning the constitutionality of Republic Act No. 12144, which passed as a law on April 6, 2025, and reassigns electric franchise areas in Tagum City, Igacos, and various municipalities in Davao del Norte and Davao de Oro to Davao Light. The implementation of this law has yet to go into effect, according to Article VI, Section 27(1) of the Constitution, which requires a bill to be signed by the President within 30 days. As of now, President Ferdinand "Bongbong" Marcos Jr. has yet to sign the bill into law.
Sources:[1] Rojean Grace G. Patumbon, Davao Light and Power takes over electric franchise areas in Davao del Norte, Davao Today, June 26, 2025.[2] Davao Light and Power postpones takeover after Nordeco files Supreme Court petition, Sunstar Davao, June 26, 2025.[3] Judge denies Davao Light's application for a Temporary Restraining Order, Rappler, June 3, 2025.[4] Nordeco files motion for Contempt of Court against Davao Light, Philippine Daily Inquirer, June 10, 2025.[5] Supreme Court Orders Davao Light to Answer Nordeco's Petition, BusinessWorld, June 18, 2025.
- The pending Supreme Court petition, challenging the constitutionality of Republic Act No. 12144, has halted the takeover of Davao Light in Davao de Oro and Davao del Norte.
- The energy industry in Davao is currently facing policy-and-legislation challenges, as the Supreme Court is yet to rule on the petition filed by Nordeco.
- The delay in implementing the changeover from Nordeco to Davao Light has been a topic of concern for general news, especially amid consumer complaints about power interruptions, poor service quality, and high electricity rates.
- In the Davao business landscape, the finance sector, particularly banking institutions, are closely monitoring the outcomes of the Supreme Court petition and its potential impact on investment decisions in the energy sector.
