The assumption of power distribution operations by Davao Light and Power Company, Inc. in the Island Garden City of Samal is seen to unlock fresh investments and energize the island’s tourism-centered economy.
Mayor Lemuel “Toto” Reyes expressed confidence that long-pending projects will now move forward following Davao Light’s official takeover from Northern Davao Electric Cooperative Inc. (NORDECO) on February 25, 2026.
According to Reyes, several prospective investors had previously placed expansion plans on hold due to concerns over power reliability. With a new distribution utility in place, he said, businesses are expected to proceed with developments that had been deferred for years.
The transition was carried out after Branch 4 of the Panabo Regional Trial Court implemented a Writ of Possession directing the turnover of NORDECO’s distribution facilities in Samal to Davao Light. The court’s January 23, 2026 ruling granted the company legal possession of the assets, followed by a Notice to Vacate served on February 19.
Davao Light’s expanded franchise, authorized under Republic Act No. 12144, now includes Samal, the rest of Davao del Norte, and Davao de Oro. The Supreme Court of the Philippines upheld the validity of the law in a decision promulgated on January 14, 2026, affirming the utility firm’s authority to operate in the area.
Reyes said the development has been warmly received by residents and entrepreneurs, particularly those in the tourism industry who anticipate more stable electricity and potentially lower operating costs.
Some high-end resorts previously depended on generator sets due to supply constraints. Among them was Discovery Samal, which had not been connected to NORDECO’s distribution system because of capacity limitations. With the new power provider in place, the resort stands to benefit from improved supply reliability.
The mayor added that resort operators have expressed optimism that electricity rates may decline as service stabilizes, reducing overhead costs and strengthening competitiveness.
