Quezon City, Philippines — The Philippine Movement for Climate Justice (PMCJ) strongly opposes the proposed franchise transfer and privatization of the electric distribution services of Northern Davao Electric Cooperative (NORDECO), citing the alarming track record of private sector takeovers in the energy sector that have led to higher electricity rates, worsening service quality, and increased monopolistic control.

For years, communities served by NORDECO have struggled with inadequate service, system losses, and power outages. While change is necessary, privatization is not the solution. PMCJ asserts that handing over control of a public utility to Davao Light and Power Corporation (DLPC), whose primary interest is profit, not public service, will only deepen the crisis and further burden the already marginalized communities.

“We have seen this story before,” said Ian Rivera, national coordinator of PMCJ. “In various parts of the country, the privatization of electric cooperatives and public utilities has consistently resulted in skyrocketing rates, non-transparent operations, and the marginalization of consumers. We cannot allow the same fate to befall the people of Davao del Norte and Davao de Oro provinces.”

Historical Failures of Privatized Energy Services

Broken promises mar the Philippine energy sector’s experience with privatization. When private conglomerates were allowed to take over distribution utilities in other regions, expectations of improved service were instead plagued with:

● Exorbitant rate increases that outpace wage growth and deepen energy poverty;

● Unaccountable corporate monopolies that stifle transparency and ignore community feedback;

● Service deterioration, including persistent brownouts and inadequate customer support.

These outcomes are not isolated. They are symptomatic of a privatized model prioritizing shareholder profits over people’s rights and environmental sustainability.

A Call for Democratic, Renewable, and Equitable Energy

PMCJ urges Congress and regulatory agencies to immediately halt the transfer of NORDECO’s franchise to private hands and instead commit to democratizing energy governance. This includes supporting community-owned renewable energy initiatives, strengthening public accountability mechanisms, and ensuring electric cooperatives truly serve their member-consumers.

“We are at a critical juncture in our climate and energy future,” Rivera continued. “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 privatization of electricity services.”

PMCJ calls on all climate advocates, energy justice movements, and concerned citizens to stand in solidarity with the communities resisting the replacement of NORDECO with DLPC, and to uphold electrification as a public service, not a corporate commodity. ###

For Mindanao-based media, contact:
Pat Pangantihon
Policy and Communications Officer-Mindanao
Philippine Movement for Climate Justice
pjpangantihon.mindanao@climatejustice.ph

For Metro Manila-based media, contact:
Sheila Abarra
Senior Media and Communications Officer
Philippine Movement for Climate Justice
mediacommunications@climatejustice.ph