Aboitiz's Davao Light begins ₱2-billion expansion after court win
Davao Light and Power Co., the utility arm of Aboitiz Power Corp., has secured a court victory allowing it to take over electricity distribution in the Island Garden City of Samal, effectively expanding its franchise area in the region.
In a statement on Thursday, Feb. 26, Davao Light said the Regional Trial Court–Panabo Branch 4 granted the utility authority to acquire the assets of the Northern Davao Electric Cooperative (Nordeco).
The court order required Nordeco to vacate the premises as of Feb. 19 to facilitate the transition to the private distribution firm.
The ruling follows a provisional certificate of public convenience and necessity awarded by the Energy Regulatory Commission (ERC), which permits Davao Light to operate in sections of Davao del Norte and Davao de Oro.
The expansion effectively ends years of localized service under the cooperative model for Samal residents, who have frequently advocated for more stable power infrastructure.
Davao Light said it will begin implementing “necessary improvements” to the island’s grid to address long-standing reliability issues.
The company also signaled a willingness to maintain a dialogue with Nordeco regarding other areas included in the franchise expansion to ensure an orderly transition and prevent service interruptions.
The takeover triggers a ramp-up in the utility’s investment pipeline. Davao Light earlier disclosed plans to deploy between ₱1 billion and ₱2 billion in capital outlay this year specifically to fund the rollout of its expansion plan. Enriczar Tia, Davao Light president, said the company is increasing project spending to meet surging demand not only in its core Davao City market but also in the municipalities of Panabo, Carmen, Dujali, and Santo Tomas.
The push into Nordeco’s former territories is expected to increase Davao Light’s customer base by approximately 250,000 households. This would bring the company's total reach to 750,000 customers, up from the 500,000 it served as of August 2025.
Before the court's intervention, Davao Light had offered Nordeco ₱1 billion to acquire the assets directly, seeking to streamline the expansion of its service reach in the Davao region.