Draft:Northern Davao Electric Cooperative
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| Formerly | Davao del Norte Electric Cooperative, Inc. |
|---|---|
| Company type | Electric cooperative |
| Industry | Electrical power industry |
| Founded | September 24, 1971 in Davao de Oro |
| Headquarters | , Philippines |
Areas served |
|
| Website | nordeco |
Northern Davao Electric Cooperative, Inc., also known as NORDECO, is an electric cooperative in the Philippines serving most of Davao del Norte[a] and Davao de Oro.
History
[edit]Origin
[edit]NORDECO was established as the Davao del Norte Electric Cooperative, Inc. or DANECO on September 24, 1971 initially providing electricity to parts of the then-undivided Davao del Norte.[1]
2010s intra-cooperative dispute and renaming
[edit]A conflict between two factions within the electric cooperative started in 2012 due to accusations of mismanagement with consumers confused whether to pay their bills with a faction linked with the National Electrification Administration or the faction registered with the Cooperative Development Authority.[2] The National Electrification Administration assumed control over the electric cooperative on March 1, 2017 through the activation of Task Force Duterte Northern Davao Power that was created to resolve its legal woes.[3] During the task force's management of the electric cooperative, bill payment collection improved and its system loss was reduced from twenty-three percent of its total supply to between 15 and 17 percent. The electric cooperative was renamed from Davao del Norte Electric Cooperative to Northern Davao Electric Cooperative in 2019[4] with the two factions reconciling in the same year.[5][6]
Davao Light franchise expansion attempts
[edit]An attempt to expand the franchise area of the Davao Light and Power Company and subsequently replace NORDECO as the energy provider for Davao del Norte including the Island Garden City of Samal and Maco in Davao de Oro was initiated in 2020 when governor Edwin Jubahib of Davao del Norte along with its mayors delivered a letter to the cooperative's board requesting that they no longer be covered by the cooperative's service area.[7] Such efforts were opposed by the Philippine Rural Electric Cooperatives Association as part of the latter's dissent against private entities aiming to expand the coverage of their respective franchises in areas already served by electric cooperatives.[8] The attempted modification was approved during the 18th Congress but was vetoed by president Bongbong Marcos in July 2022 due to "legal and/or constitutional challenge due to the apparent overlap and possible infringement into the subsisting franchise, permits, and contracts previously granted to North Davao Electric Cooperative."[9] The veto was lauded by the National Electrification Administration[10] and the Philippine Rural Electric Cooperatives Association.[11]
[House Bill] 6740, if enacted into law, is a major milestone for the province of Davao del Norte as the expansion of the energy services provided by Davao Light will bring about a positive change to the lives of our constituents, providing them with reliable and efficient power supply[.]
Edwin Jubahib, governor of Davao del Norte[12]
The Constitution does not allow laws that impair contracts. With House Bills 5077, 6740, 6995, and 7047, existing contracts of NORDECO will be substantially impaired. For example, power supply contracts will be servicing a much smaller franchise area[.] If these HBs are passed it would create a disastrous precedent that can be abused. It encourages cutthroat behavior among competitors for the same franchise areas. Essentially, it overwrites the due process required by the EPIRA law to suspend or revoke franchise rights[.]
Jeorge Rapista, lawyer representing NORDECO[13]
After the July 2022 veto, subsequent bills to displace NORDECO as the energy supplier in Davao del Norte and parts of Davao de Oro in favor of Davao Light were filed in the House of Representatives during the 19th Congress. Three such bills arranged for the expansion of Davao Light's franchise to parts of Davao del Norte currently served by NORDECO and Maco in Davao de Oro while one bill only limited the coverage of such changes to the Island Garden City of Samal.[14] House Bill 6740, introduced by representative Margarita Nograles and co-sponsored by representatives John Tracy Cagas, Ferdinand Alexander Marcos and Jurdin Jesus Romualdo,[15] is supported by Davao Del Norte governor Edwin Jubahib.[12] However, NORDECO through its lawyer Jeorge Rapista contest the proposed changes to its franchise area[13] and warned that such moves could lead to a constitutional crisis.[16]
2023 Davao del Norte outages
[edit]Areas in Davao de Oro under NORDECO's franchise were affected by recurring power interruptions in early 2023 with some residents and government officials of the Island Garden City of Samal commenting that such outages started in 2016 adversely affect tourism and drive away potential investors.[17] Such outages among other grievances prompted some consumers in Tagum City to protest against the cooperative on March 13, 2023 with calls for NORDECO to be replaced by Davao Light.[18]
Notes
[edit]- ^ The power needs of Braulio E. Dujali, Carmen, Panabo City and Santo Tomas are met by Davao Light and Power Company
References
[edit]- ^ Figueroa, Antonio (January 7, 2023). "FAST BACKWARD: Davao del Sur Electric Cooperative". Edge Davao. Zion Accuprint Publishing Inc. Archived from the original on June 19, 2023. Retrieved December 30, 2023.
[...] the establishment of Davao del Norte Electric Cooperative (DANECO, now NORDECO) on September 24, 1971 [...]
- ^ Velez, Tyrone A.; Sambalud, Mart D. (July 6, 2014). "Consumers want DANECO rift resolved". Davao Today. Davao Today Webworks and Multimedia Ventures, Inc. Archived from the original on June 19, 2023. Retrieved December 30, 2023.
- ^ Rivera, Danessa (March 5, 2017). "NEA takes over Daneco mngm't". Philippine Star. Philstar Global Corporation. Archived from the original on June 19, 2023. Retrieved December 30, 2023.
NEA administrator Edgardo Masongsong said Task Force Duterte Northern Davao Power has been activated last March 1, to take over the operations and management of the Davao del Norte Electric Cooperative Inc. (Daneco). He said the task force was formed "to decisively bring closure to the legal problems that have hounded Daneco, and that have consequently affected its Member-Consumer-Owners."
- ^ Cayon, Manuel (October 16, 2019). "Task force on Daneco presents new name to Davao del Norte, ComVal consumers". BusinessMirror. Philippine Business Daily Mirror Publishing, Inc. Archived from the original on June 19, 2023. Retrieved December 30, 2023.
- ^ Palicte, Che (November 16, 2019). "DavNor electric power conflict resolved". Philippine News Agency. Archived from the original on March 15, 2024. Retrieved May 19, 2024.
- ^ Padillo, Maya (May 14, 2021). "Group passes resolution opposing private firm to take over NORDECO". Edge Davao. Zion Accuprint Publishing Inc. Archived from the original on December 30, 2023. Retrieved December 30, 2023.
- ^ Lectura, Lenie (December 15, 2021). "'Davao del Norte needs new power supplier'". BusinessMirror. Philippine Business Daily Mirror Publishing, Inc. Archived from the original on July 23, 2024. Retrieved July 23, 2024.
- ^ Padillo, Maya (February 22, 2022). "Electric cooperatives are being targeted: PHILRECA". Edge Davao. Zion Accuprint Publishing Inc. Archived from the original on June 19, 2023. Retrieved December 30, 2023.
- ^ Gita-Carlos, Ruth Abbey (July 28, 2022). "PBBM vetoes bill expanding Davao Light's franchise". Philippine News Agency. Archived from the original on December 30, 2023. Retrieved December 30, 2023.
- ^ National Electrification Administration (July 28, 2022). "NEA lauds PBBM's Veto on the Expansion of DLPC Franchise Area". Archived from the original on December 30, 2023. Retrieved December 30, 2023.
- ^ Panganiban, Chris V. (August 1, 2022). "PBBM veto on Davao Light franchise expansion praised". MindaNews. Mindanao Institute of Journalism. Archived from the original on June 19, 2023. Retrieved December 30, 2023.
- ^ a b Colina, Antonio IV (February 10, 2023). "Governor welcomes bill expanding power utility firm to 8 additional areas in Davao del Norte". Manila Bulletin. Manila Bulletin Publishing Corporation. Archived from the original on May 19, 2024. Retrieved May 19, 2024.
- ^ a b Vigilia, Wendell (August 16, 2023). "Davao power firm franchise expansion opposed". Malaya Business Insight. People's Independent Media, Inc. Archived from the original on March 10, 2024. Retrieved March 10, 2024.
- ^ Panganiban, Chris V. (March 9, 2023). "Groups oppose refiling of bills expanding franchise of Aboitiz-owned power firm". MindaNews. Mindanao Institute of Journalism. Archived from the original on March 10, 2024. Retrieved March 10, 2024.
- ^ Crismundo, Kris (September 5, 2023). "Local leaders' support crucial in pending power bill for Davao". Philippine News Agency. Archived from the original on June 2, 2024. Retrieved June 2, 2024.
- ^ Soberano, Analy (August 16, 2023). "Panukalang batas na magbabago sa prangkisa ng mga power distributor posibleng magdulot ng 'Constitutional Crisis' – legal counsel power coop". Bombo Radyo Philippines (in Tagalog). Archived from the original on May 28, 2024. Retrieved July 23, 2024.
- ^ "Samal Island LGU, residents decry alleged failed services of power provider". Inquirer.net. Inquirer Interactive Inc. March 1, 2023. Archived from the original on March 10, 2024. Retrieved March 10, 2024.
- ^ Francisco, Carmelito; Panganiban, Chris; Lim, Frinston (March 15, 2023). "Samal Island LGU, residents decry alleged failed services of power provider". Inquirer.net. Inquirer Interactive Inc. Archived from the original on May 19, 2024. Retrieved May 19, 2024.