Senatorial hopefuls from the administration’s Alyansa Para sa Bagong Pilipinas alliance pledged to introduce legislation tackling Davao’s energy issues if they secure seats in the May 12 midterm elections.
Incumbent Senator Francis Tolentino stated during a political gathering in Tagum City, Davao del Norte that Senate Bill 2888 aims to strengthen the region’s economy by extending Davao Light and Power Co. Inc.’s (Davao Light) service coverage.
The Senate Bill proposes expanding Davao Light’s franchise to include Tagum City, Samal, and several municipalities in Davao del Norte and Davao de Oro. The move seeks to resolve power outages and enhance service reliability in areas currently under the Northern Davao Electric Cooperative, Inc. (NORDECO).
Tolentino remained confident that President Ferdinand Marcos Jr. would approve the bill. “I hope that alone would help not only the producers of export products but particularly the households here,” he said. “Our team would explore further avenues to boost agriculture as well as the economic competitiveness of the Davao Region.”
(Also read: Senate Approves Davao Light’s Franchise Expansion)
Evaluating electric cooperatives
Meanwhile, ACT-CIS (Anti-Crime and Terrorism Community Involvement and Support) Party-list Rep. Erwin Tulfo revealed that he has been advocating for a review of all electric cooperative franchises.
“Since last year, I moved to review all the franchises run by electric cooperatives. If they do not perform well, they should end their contracts and give them to power companies that can deliver,” he stated.
Also a candidate from the administration’s Senate lineup, Makati City Mayor Abby Binay emphasized that addressing power issues should be a top government priority to drive economic growth in Davao.
Davao City’s strong financial standing
According to a recent report from the Commission on Audit (COA), Davao City maintained its position as one of the country’s wealthiest cities in terms of financial resources and net worth in 2023.
While the city’s assets rose to P32.9 billion in 2023, up from P29.7 billion in 2022, its net worth and equity also saw growth, reaching P24.9 billion this year, compared to P21.2 billion the previous year.
“To date, Davao City has also remained debt-free,” noted the City Budget Office. “This is a testament to the city’s financial stability and capability to fund big-ticket projects.”
The Department of Finance–Bureau of Local Government Finance (DOF-BLGF) also recognized the city for its outstanding local revenue collection. In 2022 and 2023, the city was one of the top performers nationwide in local source revenues (LSR), topping all cities outside the National Capital Region with an LSR of P6.67 billion in 2023.
Resolving Davao City’s energy issues
Despite these accomplishments, Davao City faces ongoing energy stability challenges. City Councilor Louie John Bonguyan pointed out that the city’s fast-paced growth, driven by large development projects, has sharply raised electricity demand. As chair of the Committee on Energy, Bonguyan committed to finding new energy suppliers.
He stated, “Because every day, makita natu diri ubos sa Sanggunian sa Business Bureau og permits, mag naay permits kailangan gyud na ug electricity (Each day, we process a large number of permit applications at the Sanggunian and the Business Bureau. As the number of permits increases, so does the demand for electricity).
The Department of Energy-Mindanao Field Office (DOE-Mindanao) previously cautioned that Mindanao could experience an energy crisis by 2027 unless extra power resources are secured.
Last December, Mindanao Development Authority (MinDA) Chair Leo Magno expressed apprehension about the power shortage’s potential impact on business confidence and regional development. He emphasized that addressing Mindanao’s energy challenges continues to be a key focus.
Sources:
https://www.manilatimes.net/2025/02/17/regions/senate-bets-vow-stable-power-supply-in-davao/2056598
https://www.pna.gov.ph/index.php/articles/1240201
https://www.sunstar.com.ph/davao/davao-city-braces-for-potential-power-crisis
