The Davao Consumer Movement (DCM) is calling on the Northern Davao Electric Cooperative (NORDECO) to immediately begin negotiations to sell its distribution assets to the Davao Light and Power Company (Davao Light).
In a statement, DCM stressed that delay could erode the value of consumer-owned investments.
The group anchored its appeal on Republic Act No. 12144 and a recent Supreme Court ruling that upheld the law’s constitutionality.
On January 14, 2026, the Court dismissed NORDECO’s petition, affirming Congress’ authority to grant and modify legislative franchises in the interest of the common good.
“This is no longer just a policy debate it is about protecting the hard-earned equity of member-consumers,” DCM said.
The group emphasized that the Supreme Court has made it clear that the law stands, and the transition must proceed.
DCM emphasized that NORDECO’s cooperative identity will remain intact even if its distribution system is transferred, countering concerns that a sale would mean dissolution.
Instead, the group framed the move as a practical and necessary step to safeguard consumer interests.
“If NORDECO refuses to sell, the value of its assets will inevitably decline as new infrastructure is built,” the group said.
“That directly harms member-consumers, who stand to lose the very investments they have built over time,” the group added.
The group argued that a negotiated sale to Davao Light would allow NORDECO to secure fair compensation and return proceeds to its members, ensuring that consumers benefit from the transition rather than absorb financial losses.
“Selling the assets is not surrender it is responsible stewardship. It ensures that consumers are compensated, rather than left behind in a depreciating system,” the group said.
Under RA 12144, the transition period is limited to no more than two years, ending around April 2027.
DCM warned that time is a critical factor in preserving asset value and maximizing returns for member-consumers.
“Every delay reduces value and weakens consumer welfare. The window to act is shrinking,” DCM said.
DCM concluded by urging NORDECO’s board to move decisively and engage Davao Light without further hesitation.
“The law is clear, the Supreme Court has spoken, and the transition clock is ticking. Act now to safeguard the interests of your member-consumers,” DCM stated.
