A climate justice coalition recently, voiced strong opposition to the proposed privatization and franchise transfer of the Northern Davao Electric Cooperative (Nordeco), warning it could worsen energy access and affordability for vulnerable communities.
The Philippine Movement for Climate Justice (PMCJ) criticized the plan to transfer Nordeco’s electric distribution franchise to Davao Light and Power Corp. (DLPC), a subsidiary of Aboitiz Power Corp. The group said similar moves in the past have led to higher power rates, poor service, and growing monopolization of the energy sector.
“We have seen this story before. In various parts of the country, the privatization of electric cooperatives and public utilities has consistently resulted in skyrocketing rates, nontransparent operations, and the marginalization of consumers. We cannot allow the same fate to befall the people of Davao del Norte and Davao de Oro,” said Ian Rivera, national coordinator of PMCJ.
PMCJ pointed to a track record of private sector takeovers in energy distribution that have failed to bring promised improvements. Instead, the group cited rising electricity prices and unreliable service under private management.
Nordeco currently serves parts of Davao del Norte and Davao de Oro — areas with rural communities that PMCJ says will be disproportionately affected by privatization.
Rather than transferring control to DLPC, PMCJ urged lawmakers and regulators to explore alternative governance models.
These include publicly owned, community-managed renewable energy systems with strong accountability measures.
The group also called on climate advocates and consumer rights organizations to stand in solidarity with affected communities and reaffirm that electrification should be treated as a public service, not a corporate commodity.
“We are at a critical juncture in our climate and energy future. We must choose a path that empowers people, protects the environment, and puts climate justice at the center—not one that repeats the mistakes of unaccountable electricity privatization,” Rivera said.
